U.S. economy experiences moderate growth

Economic activity in the U.S. is expanding, reports the latest Federal Reserve Beige Book, suggesting the country has been able to endure fiscal cliff uncertainty. All 12 Federal Reserve Districts characterized the pace of growth as either modest or moderate in December.

Read: Fiscal cliff FAQ

Trends in wages, prices, and employment conditions were relatively unchanged. But the Federal Reserve notes hiring plans were more cautious for firms doing business in Europe or in the defense sector.

Read: U.S. growth beats expectations

On a more positive note, real estate activity held steady overall for existing home sales and leasing. The manufacturing outlook is optimistic, and there was some growth in consumer spending, with holiday sales higher than in 2011.

Read: U.S. housing surge will help Canada

And tourism increased across the nation, “due to strong business and international travel, early snowfall in some ski areas, and a rebound in areas disrupted by Hurricane Sandy.”

The Beige Book compiles economic data, including labour, manufacturing, retail, banking and real estate from the 12 Districts: Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas and San Francisco.

Read the full report

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.