Washington, September 8--The economy retained a head of steam in late July and August, but the pace of growth slowed in some districts amid weaker consumer spending and softness in the housing market.
"Reports from the Federal Reserve Banks indicated that economic activity continued to expand in late July and August, although several districts indicated that the pace had slowed since their last report," the Fed said in its so-called beige book report, released Wednesday.
"Household spending was reported to have softened in many parts of the nation, reflecting lackluster retail sales and some cooling in new- and existing-home sales," the Fed said.
Of the 12 Federal Reserve districts, the New York and Chicago districts reported that the economy was expanding at a slower pace, while the Richmond district said the economy expanded "more modestly" in late July and August.
The beige book, so named for the color of its cover, is a summary of economic activity prepared for use at the central bank's next Federal Open Market Committee on Sept. 21. The most recent report was prepared by the Federal Reserve Bank of San Francisco and reflects information gathered before Sept. 1.
In its previous beige-book report published July 28, the Fed said the U.S. economy remained buoyant in June and early July, but some districts reported slower growth.
