US Beige Book shows growth rate is slowing

THE US Federal Reserve released its snapshot of the economy yesterday, which showed “widespread signs” of slowing in recent weeks.

The Fed said in its Beige Book survey of businesses that three of the 12 districts questioned said economic growth was mixed or slow.

Seven districts away from the east cost reported modest growth between mid-July and the end of August, compared with ten in the last report.

The Fed said consumer spending appeared to increase even as shoppers were limiting themselves to essential items, a further sign the economy may escape a relapse.

Upward price pressures remained quite limited for most categories of goods and services, and wage pressures were subdued, the Fed said.