U.S. Fed reports tight labor market, modest wage growth
Eleven of the Fed's 12 regional districts reported "modest to moderate" economic gains, while the Dallas Fed district saw "a robust increase", said the Fed in its latest survey on economic conditions, known as the Beige Book, based on information collected through January 8.
"The outlook for 2018 remains optimistic for a majority of contacts across the country," the report said, noting most manufacturers reported modest growth in overall business conditions.
While most districts reported on-going labor market tightness and challenges finding qualified workers across skills and sectors, wages still increased "at a modest pace", according to the report.
Several districts also noted increases in manufacturing, construction, or transportation input costs, but firms in some districts said they have the ability to increase their selling prices, the report said. ■