Outlook clouded by geopolitical tensions, high prices: Fed Beige Book

By Tuba Sahin

ANKARA (AA) - The growth outlook for the US has been clouded by the uncertainty created by recent geopolitical developments and rising prices, according to the Federal Reserve's Beige Book released on Wednesday.

Economic activity in the US has expanded at a moderate pace since mid-February, said the report prepared by responses of the Federal Reserve Bank's 12 districts.

"Inflationary pressures remained strong since the last report, with firms continuing to pass swiftly rising input costs through to customers," the report said.

Inflationary pressures are expected to continue over the coming months, it added.

"In multiple districts, contacts reported spikes in prices for energy, metals, and agricultural commodities following the Russian invasion of Ukraine, and several noted that COVID-19 lockdowns in China had worsened supply chain disruptions," read the report.

It underlined that employment rose moderately as demand for workers continued to be strong across most districts and industry sectors.