Chugging along but not strong
WASHINGTON- The Federal Reserve says economic growth was modest from April to mid-May due to home construction, consumer spending and hiring.
The Dallas banking district of the Fed reported strong growth with the other eleven districts reporting "modest to moderate." The moderate improvement for most regions is short of the "strong and sustained growth" that Fed members say is needed before the Federal Reserve starts tapering bond purchases, which have helped keep interest rates at record lows.
But the results suggest the economy and job market are improving despite tax increases and government spending cuts.