Fed: Economic activity improves in June amid reopenings

Wednesday, 15. July 2020 20:01

Economic activity and employment increased in almost all of the 12 Federal Reserve Districts in June as the country started reopening after coronavirus lockdowns, the Fed's Beige Book report revealed on Wednesday. However, economic activity was still significantly lower than before the COVID-19 crisis started.

The Fed stressed that retail sales rose in all districts as vehicle sales rebounded. Meanwhile, manufacturing activity and leisure and hospitality spending also picked up but were still lower compared to the same period a year ago. "Outlooks remained highly uncertain, as contacts grappled with how long the COVID-19 pandemic would continue and the magnitude of its economic implications," the Fed noted.

Employment increased in most districts as businesses started to reopen, while prices were little changed.

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Breaking the News / NP