Economic activity expanded moderately in late April and
early May with few shifts in the pattern of growth. The Dallas District was an
exception, where overall economic activity sped up to a solid pace:
- Manufacturing shifted into higher gear with more than half of the Districts reporting a pickup in industrial activity and a third of the Districts classifying activity as "strong." Fabricated metals, heavy industrial machinery, and electronics equipment were noted as areas of strength. Rising goods production led to higher freight volumes for transportation firms.
- By contrast, consumer spending was soft. Nonauto retail sales growth moderated somewhat and auto sales were flat, although there was considerable variation by District and vehicle type.
- In banking, demand for loans ticked higher and banks reported that increased competition had led to higher deposit rates. Delinquency rates were mostly stable at low levels.
- Homebuilding and home sales increased modestly, on net, and nonresidential construction continued at a moderate pace.
- Contacts noted some concern about the uncertainty of international trade policy. Still, outlooks for near term growth were generally upbeat.
No comments:
Post a Comment