The economy grew despite curtailed consumer spending due to coronavirus concerns, according to the Fed’s periodic compilation of business anecdotes from around the country.
Photo: David Paul Morris/Bloomberg News
The U.S. economy grew at a modest to moderate pace from mid-January through early February as the Omicron variant of Covid-19 disrupted businesses and held back consumer spending, the Federal Reserve said Wednesday.
The Fed’s periodic compilation of business anecdotes from around the country, known as the beige book, provided the latest evidence that the pandemic dealt a setback to economic recovery in recent months, the report said. Millions of workers called in sick in January. Companies also cited severe winter weather as a disruption.
The report contains information gathered through Feb. 18, after the Omicron variant drove up Covid-19 cases and hospitalizations to record highs the month before. Covid-19 cases have fallen sharply in recent weeks, deaths have begun to decline, and some states have announced plans to pull back pandemic-related restrictions.
Write to Bryan Mena at [email protected]
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