Fed’s Beige Book Finds Economy Is Improving

The U.S. economy "continued to improve" during July and August, the Federal Reserve said Wednesday in its Beige Book survey of regional economies.

The report is released eight times a year from information compiled by each of the Fed's district banks. This report was prepared by the Boston Fed and is based on information collected before Aug. 25.

Overall, 11 of the 12 regional districts said business activity picked up during the period, including an improvement in retail sales and manufacturing.

Several regional banks also had optimstic comments concerning trucking and transportation.

The Dallas Fed said that the outlook for trucking is "looking a little better" and rail shipments in the western United States were running slightly higher than year-ago levels.

Richmond noted that trucking and transportation firms in Maryland and West Virginia reported increased revenues, while Cleveland said that demand for trucking held constant since the previous report, although they were flat compared with year-ago levels.

And the Chicago Fed said producers of heavy trucks and equipment reported an increase in new orders and production.

Although "labor markets remain slack," the Fed said, demand for labor at manufacturers "appears to be firming."

The Fed is next scheduled to meet on Sept. 16 to discuss policy on interest rates.

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