FED'S BEIGE says recent weeks' economic activity in most U.S. districts expanded
at a slow-to-moderate pace and employment was little changed. Inflation readings
in most Fed districts were higher than in the prior report, largely reflecting
energy-price increases tied to the Middle East conflict, including the Iran war.
Rising energy costs since the Iran war began have raised concern about
persistent inflation, prompting more policymakers to say they need to keep all
policy options open, including the possibility of tighter monetary policy. Many
officials nonetheless described current policy-rate conditions as fairly
favorable.
