Federal Reserve Bank’s Economic Report Modestly Optimistic [AUDIO]
The Fed survey shows growth in each of its12 bank districts from April 3 through May 25. Growth was moderate or modest in 10 districts and steady in the Boston district. Hiring was steady or rose modestly. That’s in stark contrast to the government’s jobs report last week that said employers added the fewest jobs in a year in May.
Welcome news for sure, after a run of bad jobs reports and continued Euro phobia. The so-called, “Beige Book” report showed growth for most regions this spring in 10 districts. Rider University economist Maury Randall says the report might also mitigate speculation the fed will announce “quantitative easing” measures this month to stimulate the economy….in other worrds…printing money. He says, “it seems that that is a little less likely, at least at the June meeting, because of these results.
Manufacturing and home sales improved in most districts. And businesses sought more loans, which could signal expansion plans. But consumer spending was flat to only modestly positive in almost all districts.
But the Fed’s Philadelphia region, which includes part of South Jersey, reported slower growth, so that may be a fly in the local economic growth ointment.