03:20 PM EST, 01/15/2025 (MT Newswires) -- US economic activity rose "slightly to moderately" in late November and the final month of 2024, though there were concerns regarding a potential hit to the economy from changes in immigration and tariff policies ahead, the Federal Reserve said in its latest Beige Book released Wednesday.

Consumer spending increased "moderately," with most Fed districts seeing stronger-than-projected holiday sales, according to the report, which was prepared by the Chicago Fed based on information collected by Jan. 6. Vehicle sales increased modestly.

The previous report, which was released Dec. 4, showed that most Fed districts saw a slight increase in economic activity, while the growth outlook rose "moderately" across majority of geographies and sectors.

"Prices increased modestly overall, with growth rates ranging from flat to moderate," the latest Beige Book showed Wednesday. Contacts in most districts saw modest gains in selling prices. Overall, contacts projected prices to continue to increase this year, in part due to the potential for higher tariffs, according to the document.

US consumer inflation accelerated last month on both sequential and annual bases, while core measures came in below Wall Street's estimates, government data showed Wednesday.

Six districts reported a slight rise in employment, while six reported no change, according to the latest Beige Book. Contacts in several service industries continued to report job growth. Construction employment rose, while the situation in manufacturing was unchanged.

"Wage growth picked up to a moderate pace in most districts, though there were some reports that wage pressures had eased," the Beige Book showed.

Numerous districts said that manufacturers were stockpiling inventories amid expectations for higher tariffs.

Although more contacts were optimistic about the 2025 economic outlook than being pessimistic, contacts in several districts voiced concerns that changes in immigration and tariff policies could negatively impact the economy, the Beige Book showed.

President-elect Donald Trump is scheduled to take office Monday.