U.S. economic activity continued to expand from early April through mid-May even though firms grew more downbeat about the future amid weakening consumer demand while inflation continued to increase at a modest pace, a U.S. Federal Reserve survey showed on Wednesday, May 29.
The survey, known as the “Beige Book”, comes as policymakers remain uncertain about when to start a rate-cutting cycle after holding interest rates in the range of 5.25% to 5.50% for the past 10 months.
The U.S. central bank's latest temperature check on the economy's health also showed that the jobs market is gradually cooling toward more normalized levels. Most Fed districts reported slight or modest growth in economic activity, although two noted no change, the survey said. Read more.