By Hannah Lang 

Most businesses are optimistic about the economic recovery this year as coronavirus vaccines are more widely distributed and hiring picked up slowly across the country, a Federal Reserve report said Wednesday.

The Fed's periodic compilation of anecdotes from business contacts, known as the Beige Book, said the U.S. economy continued to grow modestly in the first several weeks of 2021, though some industries, such as leisure and hospitality, continued "to be restrained by ongoing Covid-19 restrictions."

"Economic activity expanded modestly from January to mid-February," the report said, adding "Most businesses remain optimistic regarding the next 6-12 months."

The Fed said the economy expanded in most regions of the country except the Northeast, where New York's economy declined modestly and the Boston area saw mixed results.

(More to Come)

(END) Dow Jones Newswires

March 03, 2021 14:59 ET (19:59 GMT)