US economic growth is still on track despite tariff concerns.
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The latest browning book issued by the Federal Reserve of the Federal Reserve (FED/) on Wednesday said the growth of corporate lending was "strong", consumer spending was increasing, and the labor market was tight, suggesting that the economy is still on the track of growth.
In a browning book compiled by 12 companies in the Fed region, the Fed said the corporate outlook was "still positive" on the whole, but many companies were worried about the Trump administration's tariff measures.
"Companies visited in many industries, including manufacturing, agriculture and transportation, are worried about the latest implementation and / or proposed tariffs," the Federal Reserve said in the report. The report covers the period from March to early April survey information.
In fact, the word "tariff" appeared 36 times in the report on Wednesday, and nothing appeared in the previous brown paper published in March 7th. In the report, tariffs were regarded as the reference elements that affect prices, or there were 10 potential suspicions in the summary of activities in 12 regional banks that the tariff was a prospect.
But in addition to this, the economic performance seems to be good. There are signs that the tax cuts approved by Congress in December may have begun to boost corporate spending and investment.
In some areas, the Fed reported a jump in commercial and industrial lending, and Saint Louis was "strong" by 17% year on year, with Atlanta growing "sound" and Cliff Dolan 's "good" demand.
"The growth in commercial and industrial sectors and commercial real estate loans has increased significantly," the Dallas fed reported.
This coincides with other fed data, showing that the growth of commercial and industrial loans slowed sharply throughout the year to early 2018 and increased in the last two months after the year of 2018. This is an indicator of corporate credit demand. In the early April, all commercial and industrial loans in the US banking industry grew to 3.4% year-on-year, the fastest growth in more than a year, and fell to near zero levels at the end of last year.
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