Federal Reserve's Beige Book Says U.S. Economy 'Subdued'

Jan. 13, 2005
By Agence France-Presse The U.S. economy is inching ahead sluggishly as people fret over the "geopolitical uncertainties" of war and terror, the Federal Reserve's Beige Book survey said March 5. "Reports from the 12 Federal Reserve districts generally ...
By Agence France-Presse The U.S. economy is inching ahead sluggishly as people fret over the "geopolitical uncertainties" of war and terror, the Federal Reserve's Beige Book survey said March 5. "Reports from the 12 Federal Reserve districts generally suggested that growth in economic activity remained subdued in January and February," the closely watched report said. "Many reports indicated that geopolitical and economic uncertainties were constraining consumer and business spending and tempering near-term expectations." The guarded tone of the report was little changed from earlier assessments in the previous two Beige Book surveys covering the period since late October of last year. "Consumer spending remained weak, on balance, with a few districts noting a little improvement and others indicating a slight deterioration," the Beige Book said. The Federal Reserve said retailers were reporting flat sales despite fears of terrorism sparking a scramble for duct tape to seal up homes. An extended winter freeze kept many people away from the stores. "Business spending was very soft, with little change in capital spending or hiring plans," the Federal Reserve said. "Most districts still described manufacturing activity as weak or lackluster, although half of the reports noted at least some degree of improvement." The Beige Book survey is released eight times a year. The report will be on the table when the Federal Reserve policy-makers meet March 18 to discuss interest rates in the context of deep concern over the economic impact of any war in Iraq. "Nearly half of the district reports suggested that manufacturing industries were reducing their payrolls, and two said that retailers were downsizing as well," the Beige Book said. Copyright Agence France-Presse, 2003

Popular Sponsored Recommendations

Navigating Disruption: A Leader’s Guide to Strategy Under Uncertainty

Nov. 1, 2023
AI, sustainability, digital--industrials are facing disruptive forces that are redefining what it takes to win. What got your company where it is today won’t get you where you...

How Digital Twin Technology is Empowering Manufacturers

Sept. 27, 2023
This FAQ delves into why this technology offers business value and considerations toward implementation.

Food and Beverage 2024 Trends and Outlook for North America

Oct. 29, 2023
Ready to hear what 200 of your peers said are the top challenges and opportunities in 2024? Don’t fall behind. Uncover actionable insights to better prepare for 2024 in this whitepaper...

Beware Extreme Software

Sept. 24, 2023
As a manufacturer, you understand the importance of staying ahead of the curve and being proactive in your approach to technology. With the rapid pace of change in the industry...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!