U.S. economic activity expanded from mid-April through May, with a number of areas reporting stronger growth, the U.S. Federal Reserve said today.
Seven of the 12 Fed districts described growth as modest or moderate, while the others reported growth as moderately strong, edging up, or somewhat faster than in recent months, according to the Fed’s Beige Book summary of anecdotal economic conditions.
The Fed said overall wage pressures had not increased, but there were “significant” price increases for energy-related products.
However, districts generally did not indicate an increase in overall price pressures, the U.S. central bank said.
There was continued weakness in residential real estate and construction but rising strength in the commercial real estate sector, the Fed said.
Housing markets were weak in most districts and no district reported an increase in new home construction.
The job market was tight for skilled workers but layoffs continued among home builders and in industries associated with home building, the Fed said.
Wage gains were described as modest, steady, moderate, or easing in different Fed districts.
Meanwhile, the Fed said consumer spending — which makes up two-thirds of the nation’s output — and retail sales were higher in late April and May.
U.S. economy expands during May
- By: IE Staff
- June 13, 2007 June 13, 2007
- 14:10