The US Economy"it has expanded at a modest pace” in many regions between the end of November and the beginning of January. That's what we read in Beige Book, the report on the health of the US economy that the Federal Reserve publishes every six weeks. The hope of the financial markets is that slower-than-expected growth will lead the central bank to postpone further interest rate hikes planned for this year
In fact, the document shows that in the districts of Boston, Atlanta and San Francisco growth was "moderate", while in New York and Kansas City it was unchanged. In general, the report reflects other economic indicators that show the impact given by a strong dollar, drop in crude oil it's a unusually warm weather.
Except for the automotive and aerospace industries, the manufacturing sector slows down, incomes in the agricultural sector are under pressure and the warm weather has affected retail and tourism. The Fed notes an improvement in the labor market but wage pressures are contained. Wagesfinally, they increase only for some types of jobs.
The result of the analysis conducted on 4 January in the 12 districts in which the American Central Bank operates, the Beige Book will be used at the next meeting of the Fed, scheduled for 27 28 and January. However, Governor Janet Yellen will not hold a press conference on that occasion. In the meeting scheduled for the next 17 18 and Marchhowever, updates on economic estimates will also be announced.
