NAEE Conference/Kansas City Trip - Post #2 - I was reminded (listening to a fireside chat with the President of the Federal Reserve Tenth District) that I missed a recent Beige Book update

As I noted above, I will try (more consistently) to post links each time to the newest Beige Book release by the Federal Reserve districts here in the western portion of the country. I'm not planning to do every update - they release a new Beige Book 8 times per year - but would like to do quarterly if possible. They may not reflect major changes from one cycle to the next, but they are a great way to update students about economic conditions AND expose them to the mix of businesses found in a single state or region.

Based on what I've heard back from people so far, I'm going to focus on three Federal Reserve districts spanning the middle of the country:

9th District (based in Minneapolis) - covers Montana, North & South Dakota, Minnesota, and northern Wisconsin/Michigan

10th District (based in Kansas City) - covers Colorado, Wyoming, northern New Mexico, Nebraska, Kansas, and Oklahoma

11th District (based in Dallas) - covers Texas, southern New Mexico, and northern Louisiana

If I get more interest beyond that I'm happy to expand - in particular, I tried to decide if there was a need in Utah and Nevada, or if the councils in Arizona and California are covering them. For now, the three districts above are a big enough reach in the western U.S. For each I'm going to provide their overall summary and one economic sector that seems to "tell the story" for the past couple of months. Then at the end I will also provide the nationwide summary.

The Beige Book links:

9th District - https://www.minneapolisfed.org/beige-book-reports/2026/2026-03-mi

Their overall summary: "Economic activity in the Ninth District was down slightly since the previous report. Employment declined slightly and labor demand was mostly unchanged. Prices increased modestly and wage growth was moderate. Consumer spending fell, construction activity was moderately lower, and manufacturing decreased at a moderate pace. Agricultural conditions remained weak. Activity among minority- and women-owned business enterprises declined moderately."

9th District labor markets: "Employment was down slightly since the last report. Surveys showed that job openings were generally flat, and more firms reported that head counts declined compared with those that reported growth. Firms noted that other challenges dampened the immediate need for labor or the ability to find skilled labor. A North Dakota manufacturer reported that sales were slow, and "we will let attrition take care of any surplus labor we currently have."

"A contact from a Minnesota landscape firm said that federal immigration enforcement "was having a significant effect on our staff," who were either staying home or leaving. "We are hiring now to replace these workers or get more reliable alternatives, but there are not any people to hire." But worker demand grew for staffing companies, and employers' outlook for future labor demand was more positive than expected. New unemployment insurance claims rose slightly compared with the same period last year, and continuing claims were unchanged."

"Wage growth was moderate, reflecting a slight uptick since the last report. Larger companies generally reported stronger wage increases, often ranging between 3 and 5 percent. A staffing firm with rising demand for industrial temp workers reported a year-over-year wage increase of 3.6 percent. Contacts have also reported rising costs for health-care insurance and new costs related to paid family leave legislation in Minnesota."

10th District - https://www.kansascityfed.org/surveys/beige-book/tenth-district-beige-book/

Their overall summary: "Economic conditions across the region increased slightly from the previous month, reflecting generally stable but cautious activity among firms and households. Labor conditions remained steady overall, with some firms utilizing technology and workflow improvements to raise productivity and ease operational constraints, rather than to reduce headcount. Prices have increased slightly, but many firms remain reluctant to raise prices further because customers have become more price sensitive and demand conditions remain soft. Several firms indicated earlier cost increases have already been incorporated into pricing, and they were not expecting significant changes over the next few months. Consumer spending was also mostly unchanged, but retailers observed a shift in purchasing patterns. One retailer reported weaker demand for lower-cost goods alongside steadier activity in mid-priced categories, while inventories edged lower as firms managed costs and exposure to price volatility. Business investment and production were largely flat. Energy activity increased modestly as higher oil and natural gas prices supported additional drilling activity in part of the Tenth District."

10th District energy: "Tenth District oil and gas activity picked up modestly in recent weeks. The number of active oil rigs increased in Colorado and Wyoming as oil prices rose above the average breakeven of District firms, driven by rising geopolitical risks in Iran. Natural gas rig counts also rose in Oklahoma amid a spike in prices from cold winter weather. Looking ahead, contacts reported that liquified natural gas (LNG) export dynamics are likely to continue to support a slight increase in natural gas prices, but they also noted that emerging geopolitical risks carry both upside and downside risk to oil and gas prices and supply. Additionally, coal production in Wyoming moderated from earlier highs despite elevated prices."

11th District - https://www.dallasfed.org/research/beige/2026/bb260304

Their summary: "Economic activity in the Eleventh District expanded moderately over the reporting period. Activity vigorously rebounded in manufacturing while also picking up in the service sector. Bank lending, retail sales, and commercial real estate transactions grew. Energy sector activity declined slightly, and agricultural conditions worsened. Employment grew slightly, while wages and prices increased modestly to robustly. Outlooks remained steady despite persistently elevated uncertainty."

11th District prices: "Price pressure remained moderate in the service sector, while elevated in the manufacturing sector as prices for both raw materials and finished goods grew at a robust pace. Raw material prices were driven up by high metals—aluminum, copper, steel, tungsten, and silver—prices. Several contacts cited strong demand, inadequate supply, and tariffs as the causes of high metal prices. Finished goods prices rose in response to increased input price pressures. One contact noted that it is difficult to pass along the high metal prices to customers in a timely manner. Another reported that input prices are increasing without notice and occasionally doubling, complicating placing new orders."

Overall National Summary - https://www.federalreserve.gov/monetarypolicy/publications/beige-book-default.htm

National summary (prepared this time by the Cleveland Fed): "Overall economic activity increased at a slight to moderate pace in seven of the twelve Federal Reserve Districts, while the number of Districts reporting flat or declining activity increased from four in the prior period to five in the current period. Although consumer spending increased slightly on balance, two Districts reported ongoing declines, and many noted that sales were dampened by economic uncertainty, increased price sensitivity, and lower-income consumers pulling back on spending. Districts impacted by winter storms said that retail traffic generally slowed, and one District said immigration enforcement activity negatively affected customer demand in urban areas. Auto sales were mostly down for Districts that reported on them, with many citing continuing affordability issues. Manufacturing activity improved overall since the previous reporting period, with eight Districts reporting varying degrees of growth and two reporting declines. Manufacturing contacts in many Districts reported increases in new orders, and several cited boosts in demand from data centers and, relatedly, energy infrastructure. Transportation activity was mixed across Districts that reported on it, with three reporting contractions and two reporting modest growth. Overall, financial services activity was reported as stable to up, with commercial lending being the primary area of strength. For most Districts that reported on residential real estate and construction, sales and activity decreased slightly, with low inventories and affordability remaining key issues. Nonresidential construction activity was mixed across reporting Districts but increased slightly on net. Among reporting Districts, agricultural conditions were mostly flat, and energy activity grew modestly on balance. Overall, economic expectations were optimistic, with most Districts expecting slight to moderate growth in the coming months."