WASHINGTON—How is the U.S. economy performing? Depends on which region of the country you’re in, according to the Federal Reserve.
The Fed said in its most recent Beige Book report that economic activity expanded in nine of the 12 Fed districts, with overall improvements in the labor market and consumer spending across the country, but low energy prices having both positive and negative effects.
The Boston Fed offered the most optimistic view of economic performance, while the New York and Kansas City Fed districts said performance was essentially flat. The remaining Fed districts essentially described economic activity as modest.
The Philadelphia and San Francisco districts indicated their local economies were feeling pains from the strong dollar, while the Cleveland and Kansas City districts said warm weather up to the point they had made their reports had helped households by keeping energy supplies abundant and low priced.
The Fed indicated again that it is forecasting there will be four quarter-point increases in rates during 2016 unless indicators should change.