Econintersect: The consolidated economic report from the 12 Federal Reserve Districts (Beige Book) said "economic activity has expanded since the previous Beige Book report; however, none of the Districts pointed to a distinct shift in the overall pace of growth". The previous report said "economic activity continued to expand since the previous report". The key words were that the rate of growth is unchanged.

Please see the end of this post for words the Federal Reserve uses when the economy is entering a recession.

This report is based on information collected on or before 22 August 2014. The summary for this 03 September 2014 release reads as follows:

Reports from the twelve Federal Reserve Districts indicated that economic activity has expanded since the previous Beige Book report; however, none of the Districts pointed to a distinct shift in the overall pace of growth. The New York, Cleveland, Chicago, Minneapolis, Dallas, and San Francisco Districts characterized their growth rates as moderate; Philadelphia, Atlanta, St. Louis, and Kansas City reported modest growth. Boston reported that business activity appeared to be improving, and Richmond reported further strengthening. Philadelphia, Atlanta, Chicago, Kansas City, and Dallas explicitly reported that contacts in their Districts generally remained optimistic about future growth; most of the other Districts cited various examples of ongoing optimism from specific sectors.

General consumer spending grew in most Districts at rates ranging from slight to moderate, with few changes in the pace of growth compared with the last Beige Book. Most Districts reported a continued expansion of auto sales, noting record-high levels for several markets within the Philadelphia and Dallas Districts; however, in some parts of the New York and Philadelphia Districts sales began to fall back from their relatively high levels. Tourism activity was reported to have increased across much of the nation, with many Districts reporting higher hotel booking and occupancy rates.

Activity among nonfinancial service sectors improved overall.District reports on manufacturing were mixed--divided almost evenly into one of three characterizations of the sector's activity: expanding, contracting, or unchanged. Among Districts reporting on their firms' near-term expectations, the manufacturing outlook remained generally upbeat, with New York, Philadelphia, Richmond, and Atlanta reporting increased optimism.

Since the previous Beige Book, residential real estate activity, particularly sales of existing homes and construction of new homes, generally expanded or held steady in about half of the Districts.About half of the Districts also reported some growth in construction and in sales or leasing of nonresidential properties.

Overall, loan demand rose in eight Districts and held steady in one. Credit standards were largely unchanged. Six Districts reported improving credit quality, falling delinquency rates, or both.

Reports regarding farm products were mixed; for some crops, high anticipated harvests have put downward pressure on prices and expected farm incomes. Generally, oil and gas production and demand for related activities continued to edge up from already high levels, while total coal production mostly held steady.

Trends in employment, wages, and prices were relatively unchanged in the Federal Reserve Districts, with greater wage pressures reported in sectors where shortages of skilled labor persisted.

Fed's Words When Economy is entering a Recession

For the December 2007 recession, here is the lead up summary words from the Beige Books:

• 28Nov2007 - "expanding"
• 16Jan2008 - "increasing moderately"
• 05Mar2008 - "growth slowed"
• 16Apr2008 - "weakened"

For the March 2001 recession which ended in November 2001, here are the Beige Book summary words:

• 17Jan2001 - "economic growth slowed"
• 07Mar2001 - "sluggish to modest economic growth"
• 02May2001 - "slow pace of economic activity"
• 13Jun2001 - "little changed or decelerating"
• 08Aug2001 - "slow growth or lateral movement"
• 19Sep2001 - "sluggish"
• 24Oct2001 - "weak economic activity"
• 28Nov2001 - "remained soft"
• 16Jan2002 - "remained weak"