The U.S. economy grows at a steady but slow rate in the second quarter of the year based on the regional economic survey of the Federal Reserve. The sluggish pace also supports the inflation as described by some enterprises. Rates are about to be tightened as the economy progresses after a long hiatus of almost a decade holding rate close to zero following the financial crisis. Employment and wages also grew but at an average pace with the U.S. unemployment rate measured at 4.4 percent at a 10-year low. Although the labor market is seen to tighten, there are signals implying the need for a rate hike. Commodity markets, particularly lumber and steel, are increasing its prices for some manufacturers and the construction sector while other divisions are easing their costs. The policymakers are anticipated to raise its rates in the next policy meeting this June.
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