MNI BRIEF: Consumers Push Against High Prices -Fed Beige Book

More than half of Fed banks say U.S. businesses reported some customer pushback, such as smaller volume purchases or substitution of less expensive brands amid strong or robust price increases, according to a Fed report on current economic conditions published Wednesday.

About half of the Fed districts said many contacts maintained pricing power, often with fuel surcharges. Most Fed districts reported that employment rose modestly or moderately while one explicitly reported that the pace of job growth had slowed. The Beige Book said some firms in most of the coastal Fed regions noted hiring freezes or other signs that market tightness had begun to ease.

All twelve Fed regions reported continued economic growth, and eight districts reported that expectations of future growth among their contacts had diminished, the Beige Book said.