The Federal Reserve (Fed) Beige Book highlighted on Wednesday that wages are growing slowly, which has led to further declines in consumer spending, except among higher-end shoppers. The Beige Book, which is released eight times a year, gathers information on current economic conditions from bank and branch directors, interviews with key business contacts, economists, market experts, and other sources.

Key quotes

Wages generally grew at a modest pace.

However, some sectors such as manufacturing and construction noted an increase in the risk of slower activity in coming months.

Economic activity was little changed since the previous report, according to most of the twelve Federal Reserve districts.

Two districts noted a modest decline and one reported modest growth.

Some contacts noted an increased risk of slower activity in coming months, while some optimism was noted among manufacturers.

Prices rose moderately during the reporting period.”