Consumer spending remains healthy, led by strong motor vehicle sales. Both residential and commercial construction remain at high levels, although some slowing in the rate of expansion was noted in several Districts. Reports on agriculture have been mixed, while the outlook in the energy sector has improved. Loan demand is generally described as strong in many areas of the country. Prices generally remain stable, with the exception of oil and gas, and some building materials, which are in short supply.
Inventories continue to be balanced.
Many Atlanta and Chicago retailers reported that the early Easter holiday shifted purchases into March while weakening April sales results. New York and Dallas reports indicate that sales growth has moderated since January and February, while sales have improved from earlier in the year in the Kansas City and Philadelphia Districts. Retailers in the Cleveland, Dallas, Kansas City and Richmond regions expressed optimism going forward. Motor vehicle sales grew at a healthy pace in most Districts in March and early April. Sales were strong in the Richmond, Kansas City, Chicago, Philadelphia, and San Francisco Districts.