Cleveland: “One large general merchandiser said that lower-income households had become more reliant on credit cards and ‘buy now, pay later’ payment options in recent months and was skeptical that these customers could sustain their current level of spending once seasonal promotions ended.”
New York: “A major payroll and human resources firm reported that bonuses were up in 2023, with more employees receiving bonuses and solid increases in average bonus percentages.”
Chicago: “Contacts felt District farms generally ended 2023 in strong enough financial positions to weather whatever 2024 brings.”
St. Louis: “Some businesses are choosing not to raise prices even though labor and non-labor input costs continue to increase.”
Minneapolis: “A Montana staffing contact added, ‘We are seeing more clients settling in with who they have and not hiring unless the candidate is perfect.’”
The economy is tracking to grow at a solid annualized rate of 2.4% in the fourth quarter, according to the Atlanta Fed’s latest estimate. While that would be a moderation from the blockbuster 4.9% pace seen in the third quarter, a resilient consumer continues to power the economy forward.
US retail sales rose in December at the strongest pace in three months, surpassing economists’ expectations, Commerce Department data showed Wednesday.
Meanwhile, the Fed’s preferred gauge of inflation has fallen sharply over the past year. Excluding the volatile food and energy categories, the core metric rose 1.9% in November on a six-month annualized basis — just below the Fed’s 2% target.
This article was provided by Bloomberg News.