NEW YORK, Jan. 14 (Xinhua) -- Overall U.S. economic activity saw improvement from mid-November 2025 to early January compared with previous months, though inflation didn't see a material easing as tariff-related cost pressures continued, the Federal Reserve said in its Beige Book released on Wednesday.
"Overall economic activity increased at a slight to modest pace in eight of the twelve Federal Reserve Districts," said the Beige Book in a survey on economic conditions based on information collected from 12 regional reserve banks.
Most banks reported slight to modest growth in consumer spending in the latest reporting cycle, largely attributed to the holiday shopping season. Prices grew at a moderate rate across a large majority of districts, with only two reporting slight price growth, said the report.
"Cost pressures due to tariffs were a consistent theme across all Districts," it added.
Several contacts that had initially absorbed tariff-related costs were beginning to pass them on to customers as pre-tariff inventories became depleted or as pressures to preserve margins grew more acute, the report said.
"AI's current impact on employment was limited, with more significant effects anticipated in the coming years rather than immediately," said the report.
The Federal Reserve publishes the Beige Book eight times a year, using reports from its regional banks to survey economic conditions across the United States. The report serves as an important reference for federal monetary policy meetings, with the next policy meeting scheduled for Jan. 27-28. ■