Thursday, January 13, 2011
Region's growth modest, Federal Reserve reports
For the third time since October, the Federal Reserve has characterized the region's economy as growing -- but modestly.
In its Beige Book report that tracks economic activity throughout the United States every six weeks, the Fed Wednesday said the economy in the geographic district that includes Pittsburgh "expanded at a modest pace."
While the region's manufacturers reported improved demand and retailers had a positive holiday season, according to the survey, home and commercial construction remained sluggish and consumer borrowing was weak.
Nationally, there was also slight economic expansion over the last six weeks with better activity in manufacturing, retail and nonfinancial service sectors, the Fed said. Financial services and real estate remained generally weak in the 12 districts that the Fed surveyed. Pittsburgh is part of the Cleveland district.
Compared with a year ago in the region, production increased and factories reported stable or rising demand in the last six weeks, the Fed said. Specifically, steelmakers said they shipped more products, with demand up among their energy-related, transportation and heavy equipment customers.
Also, most manufacturers in the district added full-time workers since the last survey. While they said they expected to continue hiring in 2011, their capital spending plans were conservative, the survey said.
Among retailers in the district, holiday sales at general merchandise stores surpassed that of small specialty stores; but most expect consumers to spend more on discretionary items in the first quarter of 2011. While many hired temporary employees for the holidays, they didn't expect to hire more this year.
In the real estate sector, home construction was flat, and most home sales occurred among move-up buyers. In nonresidential construction, most new projects were health care facilities.
The BEIGE BOOK
Read more: http://www.post-gazette.com/pg/11013/1117538-28.stm#ixzz1B2YwgUBP
Region's growth modest, Federal Reserve reports
For the third time since October, the Federal Reserve has characterized the region's economy as growing -- but modestly.
In its Beige Book report that tracks economic activity throughout the United States every six weeks, the Fed Wednesday said the economy in the geographic district that includes Pittsburgh "expanded at a modest pace."
While the region's manufacturers reported improved demand and retailers had a positive holiday season, according to the survey, home and commercial construction remained sluggish and consumer borrowing was weak.
Nationally, there was also slight economic expansion over the last six weeks with better activity in manufacturing, retail and nonfinancial service sectors, the Fed said. Financial services and real estate remained generally weak in the 12 districts that the Fed surveyed. Pittsburgh is part of the Cleveland district.
Compared with a year ago in the region, production increased and factories reported stable or rising demand in the last six weeks, the Fed said. Specifically, steelmakers said they shipped more products, with demand up among their energy-related, transportation and heavy equipment customers.
Also, most manufacturers in the district added full-time workers since the last survey. While they said they expected to continue hiring in 2011, their capital spending plans were conservative, the survey said.
Among retailers in the district, holiday sales at general merchandise stores surpassed that of small specialty stores; but most expect consumers to spend more on discretionary items in the first quarter of 2011. While many hired temporary employees for the holidays, they didn't expect to hire more this year.
In the real estate sector, home construction was flat, and most home sales occurred among move-up buyers. In nonresidential construction, most new projects were health care facilities.
The BEIGE BOOK
Read more: http://www.post-gazette.com/pg/11013/1117538-28.stm#ixzz1B2YwgUBP
