Breitbart Business Digest: Beige Book Provides Gloomy Outlook for U.S. Economy
The latest edition of the Beige Book provides far more red flags than silver linings.
The latest edition of the Beige Book provides far more red flags than silver linings.
Growth stalled but there were no districts reporting contractions of overall activity.
The Federal Reserve’s beige book described the economy as “unchanged” from July, indicating little growth in some regions and a shrinking economy in others.
Recession worries are cited by three of the Fed’s 12 Districts.
The notion that the March Consumer Price Index marked peak inflation was dealt a sharp blow by the Federal Reserve’s Beige Book on Wednesday.
The Fed, in its latest Beige Book report that collects business anecdotes from around the country, said that prices charged to customers increased at a “robust pace” across the United States.
All around the country, Fed officials are hearing of “significantly elevated prices.”
Shortages of workers and key inputs are slowing everything from retail to manufacturing while prices keep rising.
Demand has surged faster than manufacturers, home builders, and retailers can expand to meet it, the latest Beige Book indicates.
Businesses catering to pet owners had a good year as people adopted more pets and spent more time with their pets. That could reverse as the economy reopens.
The Fed’s survey of business around the country found increasing worries about the coronavirus and “political uncertainty.”
The economy continued to expand and manufacturing activity expanded but shutdown hurt in some areas and China worries persist.
And still no signs that tariffs are a problem for the economy.
Still no signs that tariffs are a “tax on consumers.”
The Beige Book’s use of “modest to moderate” to describe the pace of economic growth may relieve concerns that the economy might be at risk of overheating.