AlQa'dah 21, 1432, Oct 19, 2011, SPA -- The U.S. Federal Reserve said Wednesday that its 12- bank regions expanded at a modest pace in September and early October, a slight improvement from the previous period. "Overall economic activity continued to expand in September, although many districts described the pace of growth as 'modest' or 'slight' and contacts generally noted weaker or less certain outlooks for business conditions," the central bank said in its Beige Book report, named for the color of its cover. The report found that consumer spending rose slightly in most districts, largely because more people purchased new cars. Manufacturing also rebounded, particularly in the auto industry, in which supply disruptions caused by disasters in Japan have started to ease. While a few Fed districts saw some improvement in construction, "overall conditions for both residential and commercial real estate remained weak," the survey said. Loan demand was generally weaker except for mortgage refinancing. Businesses were more cautious amid a more uncertain economic outlook that the survey said was impacting future spending plans. Wage pressures were "subdued," and several districts said prices for commodities, including oil and industrial metals, had fallen in September. The previous Beige Book survey found growth more uneven across the country following a difficult summer that included wild fluctuations in the stock market.
