From INO breaking news. I couldn't post the link since I was in a frame off of our site.
FED TEXT Beige book summary of Fed bank districts
Mar. 8-MAR--
[B] FED TEXT: Beige book summary of Fed bank districts
By Bridge News
Washington--Mar 8--Following is a summary of commentary on economic
conditions in the 12 Federal Reserve Bank districts in Wednesday's Fed
"beige book" report:
BOSTON: Economic activity continued to expand with retailers reporting
strong sales growth but little price inflation. Manufacturers also cited
growth but indicated they were not raising prices. Labor markets remained
tight and most companies said base wages were rising at a 3-5% clip, with
some saying they were raising wages by even more than this.
NEW YORK: The economy continued to run flat but labor shortages
intensified further amid some sign of increased wage pressures. Retail
sales ran on or above plan but most retailers said inventory levels were
satisfactory. Housing permits picked up noticeably and the market remains
exceptionally tight in the New York City area. A slight pickup in
manufacturing activity was senses, alongside ongoing input price
pressures. Bankers reported softening demand for consumer and home
mortgage loans.
PHILADELPHIA: The economy expanded moderately, with manufacturers
reporting higher shipments and orders while retailers said sales were well
up on the year.
Commercial real estate markets were firm. Members of several industries
reported rising costs, mainly for basic commodities, and a recent step-up
in wage increases. Most industries expected continued growth and bankers
forecast growth in most loan categories, albeit at a slower pace than last
year.
CLEVELAND: Economic growth remained strong, with continued low rates
of joblessness and steady wage growth. Materials prices rose but prices
for consumer goods were stable. Although most contacts mentioned difficulty in finding qualified personnel, none reported an inability to
fill customer orders or significant wage increases.
RICHMOND: The economy advanced at a quicker pace thanks to strong
retail sales and robust manufacturing activity. Sales of big-ticket items
were markedly higher while in the manufacturing sector, capacity
utilization and new orders rose at their strongest rate in several years.
Real estate activity expanded moderately despite higher mortgage rates. In
the labor markets, wage pressures picked up somewhat but eased in the
services sector. Prices rose only modestly in most sectors.
ATLANTA: The district continued to expand at a robust pace and the
outlook was positive. Retail sales were strong but growth has eased.
Construction of single-family homes was down on the year while factory
production has also slowed. Tight labor markets continued to have a
negative effect and there were scattered reports of accelerating wages.
CHICAGO: The economy expanded moderately but reports of intensifying
wage and price pressures were isolated. Confident consumers buoyed retail
spending and business construction remained robust. Sales of new and
existing homes were stronger than expected. Lending activity remained
brisk and labor markets stayed very tight with worker shortage persisting.
A few new reports cited intensifying wage pressures.
End article, start my take...
No real pricing pressure yet, note the Yet. Rising costs, wage pressure seems to be consistant but they said they were not raising prices. How long can this last? Costs will have to be passed on eventually. To all those AG bashers, seems he is not barking up the wrong tree IMO.
Good Luck,
Lee |
