US economic activity expanded moderately in and.>

FED: US economic activity expanded moderately in late-April and early 

May, except in the Dallas district where activity "sped up to a solid 

pace," the Beige Book said Wednesday. Otherwise, there were "few shifts 

in the pattern of growth."

- Prices rose moderately in most districts, while others reported only 

slight or modest increases. There were reports of rising materials 

costs, and rising input costs along with rising demand and shortage of 

skilled labor, that put upward pressure on prices.

- Employment rose at "a modest to moderate rate" in most districts, with 

stronger growth reported in the Dallas region. Labor market conditions 

"remained tight across the country," with continued reports of shortage 

of skilled workers in some sectors that are being met by higher wages. 

However, wage increases "remained modest in most districts." Contacts in 

some districts in the coming months expect similar employment and wage 

gains.

- Consumer spending was "soft" as auto sales were generally flat and 

nonauto retail sales growth "moderated somewhat."

- Manufacturing activity picked up in more than half of the districts, 

with higher freight volumes noted by transportation firms.

- Home building and sales "increases modestly, on net."