The US economy grew overall during June through mid-July, but some regions reported slowing activity, the Federal Reserve said last night.
The Fed districts of Philadelphia, Cleveland, Richmond, Chicago, Dallas and San Francisco reported declines in rates of growth, the Fed said in its Beige Book summary of economic conditions.
At the same time, increases in wages and in prices of final goods and services remained modest in spite of pressures from higher prices for energy and other inputs, the US central bank said.
US Treasuries extended modest gains and the dollar slipped after the report was published.
In the interest rate futures market, the betting that the Fed would continue its campaign of rate increases at its August 8th meeting dipped to as low as 38 per cent from 54 per cent before the report was released.
Stocks gained as markets took reports of slowing growth as a sign the Fed will stop raising interest rates.