Overall economic activity has risen slightly since mid-January, with six of the 12 Federal Reserve districts reporting no change in activity, four reporting modest or moderate growth, and two noting slight contractions, according to the Federal Reserve’s second Beige Book report of the year.
Banking activity was slightly higher on balance among the districts that reported it, according to the Fed. Residential real estate markets were mixed in part due to ongoing inventory constraints. Construction activity declined modestly for both residential and nonresidential units, with some industry contacts concerned about the effects of potential tariffs on the price of lumber and other materials. Agricultural conditions deteriorated some among reporting districts. Overall expectations for economic activity over the coming months were slightly optimistic.
