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Beige Book Summary: 11 Districts See Modest To Moderate Growth-Text>

--Report Prepared by the Atlanta Federal Reserve Bank
--Responses Collected Through January 8, 2018
     WASHINGTON (MNI) - The following is the overall summary of the 
Federal Reserve's report on Current Economic Conditions, known as The 
Beige Book, released Wednesday: 
Overall Economic Activity 
     Reports from the 12 Federal Reserve Districts indicated that the 
economy continued to expand from late November through the end of the 
year, with 11 Districts reporting modest to moderate gains and Dallas 
recording a robust increase. The outlook for 2018 remains optimistic for 
a majority of contacts across the country. Most Districts reported that 
non-auto retail sales expanded since the last report and that auto sales 
were mixed. Some retailers highlighted that holiday sales were higher 
than expected. Residential real estate activity remained constrained 
across the country. Most Districts reported little growth in home sales 
due to limited housing inventory. Nonresidential activity continued to 
experience slight growth. Most manufacturers reported modest growth in 
overall business conditions. Reports indicated that some manufacturers 
increased capital expenditures over the reporting period. Most reporting 
Districts noted continued growth in transportation activity. Loan 
volumes in many Districts were steady. Among reporting Districts, 
agricultural conditions were mixed and energy contacts described a 
slight uptick in activity. 
Employment and Wages 
     On balance, employment continued to grow at a modest pace since the 
previous report. Most Districts cited on-going labor market tightness 
and challenges finding qualified workers across skills and sectors, 
which, in some instances, was described as constraining growth. Several 
Districts noted elevated demand for manufacturing and construction 
labor. Most Districts said that wages increased at a modest pace. A few 
Districts observed that firms were raising wages in a broader range of 
industries and positions since the previous report. Some Districts 
reported that firms expect wages to increase in the months ahead. 
Prices 
     Most Districts reported modest to moderate price growth since the 
last report; exceptions were Chicago, which noted that prices increased 
only slightly while San Francisco noted price inflation was down 
slightly. Reports of pricing pressures were mixed across the country 
although several Districts noted increases in manufacturing, 
construction, or transportation input costs. Firms in some Districts 
noted an ability to increase selling prices. Retailers in some Districts 
reported modest price increases and there were reports of rising home 
prices across most of the country. Agriculture and energy commodity 
prices were mixed.                       
--MNI Washington Bureau;tel: +1 202 371-2121                       
[TOPICS: MMUFE$,M$U$$$]   

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