03:01 PM EST, 01/15/2025 (MT Newswires) -- The Fed's Beige Book showed that the US economy grew "slightly to moderately" in late November and December, with modest gains in consumer spending but declines in construction activity and manufacturing.

Employment rose in half of the districts and was flat in others, while price gains were moderate overall, but there are concerns that tariffs could lift prices.

New York Fed President John Williams (voter) said that monetary policy decisions will remain data-dependent, particularly due to the fiscal uncertainties as the new Trump administration begins. Williams added that the December CPI data released earlier in the morning is a further sign that inflation is slowing.

Recent comments of note:

(Jan. 9) Kansas City Fed President Jeffrey Schmid (voter) said that the FOMC is close to meeting its dual mandate and is near the point where a neutral policy that provides neither restriction nor support is called for, allowing to be patient and data-dependent.

(Jan. 9) Fed Governor Michelle Bowman (voter) said that the Federal Open Market Committee should remain cautious when considering changes to the Fed's policy rate and should wait for more clarity about the incoming Trump Administration's plans to see their full effect. At the same time, Bowman said that she does not believe that the current stance of policy is as restrictive as some believe and that restoring price stability is key.

(Jan. 9) Boston Fed President Susan Collins (voter) said that the FOMC can move gradually as it lowers interest rates, noting that concerns about downturn in labor market conditions are easing.

(Jan. 9) Philadelphia Fed President Patrick Harker (nonvoter) said that he sees interest rates on a downward path, with the pace of reductions dependent on the incoming data.