Fed survey: Economy ended 2011 with strength
By Martin Crustinger The Associated Press January 11, 2012 7:42PM
Line worker Jeff Danes demonstrates moving a battery charger for a Ford Focus on the Ford plant assembly line in Wayne, Mich. The final weeks of 2011 were the economy's strongest since appearng to slip toward recession in late spring. | AP file photo
Updated: February 13, 2012 9:20AM
WASHINGTON — The final weeks of 2011 were the economy’s best since it seemed to be slipping toward recession in late spring — a shot of optimism for 2012.
Consumers spent more freely. Factories made more goods. Americans stepped up travel. And the auto industry enjoyed its best stretch of the year.
That’s the bright picture the Federal Reserve sketched in a survey released Wednesday. It said all but one of its 12 banking districts experienced some growth from late November through the end of the year.
The Fed said that some sectors of the economy, notably housing, remain weak. But overall, the message was encouraging. It comes just six months after the economy nearly stalled under the weight of high food and gas prices and supply disruptions from Japan that slowed U.S. manufacturing.
Most of the Fed’s districts reported holiday sales increased over last year, and consumers are spending more on cars and travel, the survey noted. U.S. manufacturing continued to lift the economy, particularly in industries that make heavy equipment and steel. That has helped boost energy, farming and auto manufacturing sectors, the report said.
















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