2019 Beige Book Impact the EconomyThe Federal Open Market Committee (FOMC) recently met at the close of July, bringing to light many questions on the Federal Reserve’s future monetary policy.

While there was much speculation that the Fed would lower the federal funds rate at its most recent meeting, there are many factors impacting this decision. One relevant factor is the Beige Book. Understanding what the Beige Book is and how it’s factored into the FOMC’s decisions gives us a better understanding of our economy.   

What is the Beige Book?

According to the Board of Governors of the Federal Reserve System, one survey of the U.S. economy is done through the Beige Book. Put out by the Fed eight times annually, it aggregates economic information and provides a snapshot of the U.S. economy through its 12 Federal Reserve Districts. It contains reports from each district branch and bank director, along with information gleaned from interviews with economic experts and business contacts who are familiar with the economic activity of each Federal Reserve District.     

The process to begin compiling the Beige Book starts six weeks before the next FOMC meeting. Once all surveys are completed, it’s compiled and published 14 days before the FOMC meeting.

The Importance of the Beige Book

As the Federal Reserve Bank of San Francisco explains, each Book includes both formal reports and informal anecdotal information. As such, it is integral to The Federal Open Market Committee that decides monetary policy.

This report gives the current pulse on economic conditions. The Beige Book is more timely for FOMC members’ decisions because statistics, such as personal income and gross state product, are published well after they were measured.  

The July 17 Beige Book covered three nationwide categories, among others: Overall Economic Activity, Employment and Wages, and Prices.

For Overall Economic Activity, highlights from the July 17 Beige Book found that between the mid-point of May to the start of July, the country saw increasing growth overall. While there was no growth in automobile sales, items sold to consumers increased. It also found the tourism industry grew strongly, especially in Richmond and Atlanta. It also revealed that home sales rose, but new residential construction saw no increase in growth.   

According to the U.S. Census Bureau, housing starts for single-family homes in June was 847,000, or 3.5 percent more than the 818,000 starts in May. Looking at building permits for single-family structures, June’s permits grew to 813,000, growing 0.4 percent from May 810,000 building permits.

With regard to Employment and Wages, the July 17 Beige Book found that wages, especially for entry-level positions, and benefit packages increased their offerings due to a less than ideal selection from the labor market. Employment rolls increased, but not as fast as the previous Beige Book reported. Along with interviewed sources mentioning challenges in obtaining work visa re-authorizations, sectors such as IT, health care and construction were especially challenged in finding candidates to fill new positions.

When it came to the Prices category, there were a variety of reports and experiences in responses. Cost of many goods and services was stable or fell modestly from the last report. It also found that increased cost of labor and “input costs” due to tariffs were incurred by businesses. However, companies weren’t able to push costs onto consumers due to market competition forces.

Based on the mixed data from the Beige Book and other statistical data that the Fed reviewed during its recent FOMC meeting, reverberations throughout the economy will be felt. Any new rate cuts this year could reduce the strength of the U.S. dollar, impacting the cost of imported goods and materials, further impacting businesses. However, rate cuts could similarly help reduce mortgage rates, potentially helping to spur the housing market.  

Regardless of the Fed’s decision, there will be winners and losers in the U.S. economy and beyond.


38 Comments

Philip Linssen · February 6, 2024 at 11:10 am

Insightful piece

Balcxm · March 12, 2024 at 6:40 pm

where can i buy lipitor lipitor 20mg for sale lipitor 20mg without prescription

Kohtbu · March 14, 2024 at 3:55 am

order baycip online cheap – cephalexin usa cheap augmentin

Xdvxjr · March 16, 2024 at 11:28 pm

order flagyl pills – amoxil order buy generic zithromax 500mg

Yidwcy · March 19, 2024 at 4:05 am

buy valacyclovir 1000mg for sale – valtrex canada buy acyclovir sale

Dfifrs · March 21, 2024 at 10:03 am

flagyl 400mg sale – metronidazole 200mg sale cheap azithromycin 250mg

Okrngw · March 22, 2024 at 9:37 pm

buy lasix diuretic – candesartan cost capoten 120mg cheap

Wtkqmm · March 26, 2024 at 3:19 am

zidovudine 300 mg price – buy avapro 150mg pill allopurinol 100mg tablet

Beehhw · March 29, 2024 at 2:10 am

seroquel 100mg price – eskalith us where to buy eskalith without a prescription

Qomana · March 31, 2024 at 3:19 am

order atarax 25mg online – order buspirone 5mg generic amitriptyline 10mg pills

Alzopq · April 3, 2024 at 5:45 pm

order amoxicillin generic – order amoxicillin 500mg for sale purchase ciprofloxacin pill

Więcej szczegółów · April 5, 2024 at 10:49 pm

Insightful piece

Tkvmev · April 9, 2024 at 1:54 am

cheap cleocin 150mg – oral clindamycin chloramphenicol cheap

Imxqev · April 12, 2024 at 4:49 pm

buy ventolin 2mg – order albuterol inhaler theo-24 Cr 400 mg for sale

Fpmeto · April 15, 2024 at 2:00 am

buy generic desloratadine over the counter – how to get beclomethasone without a prescription buy albuterol 2mg without prescription

Lbmuyu · April 17, 2024 at 3:07 am

glyburide 2.5mg ca – glyburide ca buy generic dapagliflozin for sale

Nojbpo · April 19, 2024 at 2:57 am

repaglinide 2mg for sale – repaglinide for sale online empagliflozin 10mg for sale

Fbazuq · April 21, 2024 at 8:26 pm

buy terbinafine generic – lamisil 250mg sale grifulvin v where to buy

Kymadz · April 23, 2024 at 11:34 pm

ketoconazole 200mg pills – lotrisone price order sporanox online cheap

Icoctj · April 26, 2024 at 1:04 am

digoxin online – buy furosemide online diuretic furosemide 100mg ca

Buqvax · April 28, 2024 at 3:04 am

generic hydrochlorothiazide 25 mg – order generic zestril 2.5mg buy generic bisoprolol

Xxmwki · April 30, 2024 at 3:12 am

buy nitroglycerin pills – buy clonidine 0.1 mg generic cheap diovan 80mg

Fruknj · May 2, 2024 at 7:12 pm

crestor pills badge – crestor pills within caduet offer

Slhiqp · May 5, 2024 at 1:38 am

buy viagra professional terror – avana coat levitra oral jelly online between

Yeofki · May 7, 2024 at 4:08 pm

cenforce online show – zenegra online social brand viagra pills firebolt

Ggqalq · May 9, 2024 at 5:18 pm

brand cialis marsh – penisole punch penisole flare

Cmeeru · May 11, 2024 at 2:03 am

cialis soft tabs ill – valif pills entertain viagra oral jelly online handle

Simogp · May 13, 2024 at 10:16 pm

cialis soft tabs impossible – viagra oral jelly online bewilder viagra oral jelly mine

Rwfyjr · May 17, 2024 at 10:28 pm

cenforce courage – online cialis brand viagra material

Jryovn · May 19, 2024 at 5:04 pm

acne medication bullet – acne medication arrival acne treatment gas

Ynypyu · May 21, 2024 at 1:29 pm

uti antibiotics low – uti treatment chant uti medication heave

Yezgfn · May 23, 2024 at 12:10 pm

valtrex online beside – valtrex middle valacyclovir beach

Tizdaj · May 30, 2024 at 2:56 am

promethazine six – promethazine rat promethazine consult

Wsxfll · June 1, 2024 at 11:34 pm

fludrocortisone pills well – protonix flare prevacid pills tower

Gcrjqm · June 6, 2024 at 1:37 am

buy dulcolax 5 mg – oxytrol uk order liv52 10mg sale

Dolgmm · June 8, 2024 at 3:40 pm

bactrim online – order levetiracetam 500mg sale order tobramycin

Gzayin · June 10, 2024 at 6:07 pm

order dapagliflozin 10 mg generic – purchase doxepin generic acarbose order online

Rwknvl · June 13, 2024 at 4:02 am

buy generic enalapril – order xalatan purchase latanoprost online cheap

Leave a Reply

Avatar placeholder

Your email address will not be published. Required fields are marked *