In a report released this week, the Federal Reserve Board claims that the economy is showing some slight improvements — not so much a gain in activity, but a slowdown in the meltdown.
The FRB claims that the “overall economic activity contracted further or remained weak.” However, some regional banks noted “moderation in the pace of decline” and several saw signals of a low-level stabilization.
Housing markets are down overall, but there were some signs conditions may be stabilizing. Atlanta and Kansas City banks reported that housing inventories are slightly reduced, driving up both prices and sales. The residential sector in general is showing “better-than-expected” buyer traffic.
Both housing construction and commercial investment opportunities remain weak.
Continued high unemployment remains a major blow to the overall economy.