US Economy Expanded at 'Slight to Moderate Pace,' Beige Book Shows

The US economy expanded at a "slight to moderate pace" in 11 of the 12 Federal Reserve districts, while the other district reported no change, the Federal Reserve's most recent Beige Book update released Wednesday showed. This was little changed from the previous Beige Book, the Fed said. Consumer spending was slightly higher, but headwinds from higher prices pulled down discretionary spending. Visitors for the World Cup boosted tourism. There was little change in auto sales, but spending on repairs grew as consumers held onto their vehicles. Manufacturing production grew modestly to moderately in most districts, the Fed reported, though supply chain issues were more common. Employment was up on balance, with five districts reporting growth and seven reporting little change, an improvement from the previous Beige Book, according to the Fed. Skilled workers remained hard to find. Wage growth was modest to moderate. Prices were up moderately, with nine districts reporting moderate growth, two reporting robust growth and one seeing slight growth. Price growth was the same or slower in all districts, according to the Fed. "Expectations for price growth over the coming months.