Growth Rate Of Economy Said to Slow: Fed's 'Beige Book' Reports Lower Sales
The nationÛªs economy continues to grow at a moderate pace with most areas in the United States reporting slowdowns in manufacturing and merchandise sales, the Federal Reserve said yesterday.</br></br>The report, which used information gathered before Aug, 1, said, ÛÏComments received by reserve banks, from business and other contacts suggest that the nation's economy continues to grow slowly.Û</br></br>The report, compiled by the Federal Reserve Bank of San Francisco, said most districts reported slow growth in merchandise sales, except for womenÛªs apparel. The report noted that "overall manufacturing activity shows slow growth in several districts.Û</br></br>The report, known as the ÛÏbeige book,Û is released every six weeks, shortly before the Federal Open Market Committee meets. The next FOMC meeting is set for Aug. 22.</br></br>In general, most Fed districts said that retailers are cautious and are reducing their orders for the remainder of 1989. Most districts reported weak sales for home furnishings, electronics and appliances.