Fed survey finds concerns about rising trade tensions
WASHINGTON (AP) — The Federal Reserve’s latest survey of business conditions nationwide found rising concerns over the impact Trump administration trade policies could have on the economy.
The Fed’s 12 regional banks said the economy is growing at a moderate pace although three districts — Philadelphia, St. Louis and Kansas City — depicted activity as somewhat below average.
While businesses remained optimistic about near-term prospects, the Fed found worries about trade had prompted some businesses to scale back or postpone their capital investment plans. Higher tariffs stemming from President Donald Trump’s get-tough trade policies were reported to be pushing up input costs for some manufactured goods.
The Fed’s survey, known as the beige book, will be used when central bank officials meet later this month to decide whether to raise interest rates again.