March 05, 2025 at 07:01PM
The Beige Book said activity rose ‘slight’ in the period since the mid-January report, which a downgrade from the prior report that said “activity increased slightly to moderately”.
Tariffs were only mentioned six times in the report, which is less than I would have expected.
“Contacts in most Districts expected potential tariffs on inputs would
lead them to raise prices, with isolated reports of firms raising prices
preemptively,” the report said.
Six districts reported no change, four noted modest/moderate growth, and two reported slight contractions
On consumer spending, lower on balance, with consumers showing increased price sensitivity on discretionary items
On manufacturing: slight to modest increases across most districts, though uncertainty about tariffs weighs heavily
Jobs: Employment nudged slightly higher, with improved labor availability in many sectors
Wages grew at modest-to-moderate pace, slower than previous report, with several districts noting easing wage pressures
Overall prices saw moderate increases in most districts, with several reporting an uptick in the pace of growth
This article was written by Adam Button at www.forexlive.com.
