Economic activity grew slightly in three Federal Reserve districts since July while the number of districts that reported flat or declining activity rose from five to nine, the Fed said in its sixth Beige Book report of the year. Employment levels were steady overall, though there were isolated reports that firms filled only necessary positions, reduced hours and shifts, or lowered overall employment levels through attrition. Still, reports of layoffs remained rare, according to the Fed.
Residential construction and real estate activity were mixed, though most Fed districts’ reports indicated softer home sales. At the same time, reports on commercial construction and real estate activity were mixed. District contacts generally expected economic activity to remain stable or to improve somewhat in the coming months, though contacts in three districts anticipated slight declines, the Fed said.
