Business Conditions

“Consumer sentiment rebounded in early December but remains depressed. Consumers are concerned about rising prices for many consumer goods and the impact of rising prices on future inflation-adjusted incomes.” ~ Robert Hughes

“Weekly initial claims for unemployment benefits fell to a multidecade low. Combined with a record number of open jobs, the data show the labor market remains extremely tight. Labor shortages are likely to continue to hamper production across the economy, sustaining upward pressure on prices” ~ Robert Hughes

“Job openings and quits remained very high in October. Enticing people back to work would help ease supply problems and reduce upward pressure on prices.” ~ Robert Hughes

“Payrolls posted a disappointing gain in November. While the outlook is for continued recovery, difficulties hiring may restrain output growth, sustaining upward price pressures for a prolonged period.” ~ Robert Hughes

“Light-vehicle sales fell again in November, remaining well below the pre-pandemic range. Component shortages continue to disrupt production causing record low inventories and surging prices.” ~ Robert Hughes

“Weekly initial claims for unemployment benefits rose slightly from a multidecade low in the prior week. Regardless, claims remain low and the labor market remains very tight.” ~ Robert Hughes

“Demand for manufactured goods remained very strong in November. Labor difficulties, materials shortages, and logistical issues continue to restrain supply and pressure prices, but there may be early hints of progress on some issues.” ~ Robert Hughes

“Consumer attitudes fell back slightly as inflation fears continued to mount and new waves of Covid cases unsettled consumers. Continued expansion remains the likely course, but threats remain elevated.” ~ Robert Hughes

“Corporate profits hit a record high despite a tight labor market and rising input costs. Companies may be not only passing along higher costs to consumers, but also taking advantage of consumers’ willingness to pay higher prices and boosting profit margins.” ~ Robert Hughes