US December Beige Book reports little change in pace of growth

The Federal Reserve's Beige Book, which contains an assessment of economic conditions from the 12 Federal Reserve districts through November 25, noted that the pace of economic growth across the country was little changed through late November from the prior report. Eight districts characterized growth as "modest," one saw growth as "moderate," another as "steady" and the remaining noted mixed or declining activity. 

The composition of activity was also similar to the October Beige Book, with broad-based moderate increases in consumer spending, construction and loan demand buffeted by sluggish activity in manufacturing and the energy sector. Labor markets "continued to tighten modestly" across the country, with four districts noting that difficulty find workers had spread to lower skilled and entry-level positions. 

As a tentative sign of increasing labor market scarcity, this anecdote is, at the margin, positive for the outlook for wage growth. On balance, the December Beige Book provides little new information on economic activity and is unlikely to be impactful for policy.