Analysts at Nomura suggest that consistent with solid underlying US economic momentum in recent months, they expect the September Beige Book to report continued “modest to moderate” growth across the majority of Federal Reserve districts.
Key Quotes
“The report is likely to highlight continued uncertainty from local businesses regarding US trade policy.”
“The July Beige Book noted that “manufacturers in all Districts expressed concern about tariffs and in many Districts reported higher prices and supply disruptions that they attributed to the new trade policies.” With another tranche of China tariffs taking effect 23 August (25% on $16bn) and another $200bn currently under review, local business concern regarding the impact of protectionism may remain acute.”
“PPI: Excluding volatile food, energy and trade services, core PPI continued to rise relatively strongly by 0.3% m-o-m in July. For August, we expect continued modest acceleration in prices for goods and services provided by domestic businesses.”
Share
