Federal Reserve Beige Book August 2026-Moderate Economic Increase

The U.S. economy continued to grow at a moderate pace in August, according to the Federal Reserve’s latest Beige Book. Economic activity was supported by spending related to data centers and defense, while employment showed slight improvement and demand remained strong for workers with specialized technical skills.

The continued need for skilled and technology workers highlights the importance of human capital, education, and training and development. At the same time, the rapid expansion of data centers has raised questions about where these facilities should be located and their potential environmental impact. Read the news and you will understand the debate. 

Geopolitical developments could also affect supply chains. Defense industry growth is up. Businesses continue to face concerns related to inflation, energy costs, and government policies. Overall, the Beige Book provides a useful snapshot of current market conditions and helps illustrate the economic forces shaping businesses and workers across the country.

Federal Reserve Beige Book – August 2026

• Economic activity increased modestly, with 10 of 12 Federal Reserve Districts reporting growth.
• Consumer spending rose slightly, but consumers remained price-sensitive. Tourism continued to strengthen.
• Manufacturing activity improved, particularly in defense and data-center industries, while residential construction declined.
• Employment increased only slightly, with continued demand for skilled and technical workers.
• Price pressures remained elevated due to energy, transportation, raw materials, tariffs, and other business costs.
• Overall, the economy continued to expand at a modest pace, although businesses remained concerned about inflation, energy costs, and policy uncertainty.

Board of Governors of the Federal Reserve System. (2026, September 2). Beige Book—August 2026: National summary. https://www.federalreserve.gov/monetarypolicy/beigebook202608-summary.htm

US Manufacturing in July 2026: Modest Growth but Could be Improved

New orders for manufacturing increased, which is a good sign. Shipments are also increasing, although these are not large increases. Unfilled orders increased a little bit, and inventories increased a little bit as well. So, overall, the manufacturing sector is still expanding, but it is expanding modestly.

The economy is still growing. It is not growing as quickly as we might like under ideal conditions, but there is still positive activity. We should also think about how we can enhance manufacturing by bringing together small and medium-sized businesses and anchoring them with perhaps a few large businesses to encourage broader economic activity.

While this report does not necessarily directly cover that, many times it is the small and large businesses that experience growth. Having a strong base of micro-manufacturers, small manufacturers, and custom manufacturers can, in some cases, help create larger companies down the road. So, while we are seeing moderate growth in manufacturing, there may be opportunities to improve and expand that growth.

U.S. Manufacturing Activity: July 2026

• New orders for manufactured goods increased 0.9% in July to $663.6 billion, following a 0.2% decline in June. This suggests a modest rebound in manufacturing demand.

• Manufacturers’ shipments increased 0.8% to $658.8 billion, marking the ninth increase in the past ten months and indicating relatively consistent manufacturing activity.

• Unfilled orders increased 0.6% to $1.60 trillion and have risen in 24 of the past 25 months, providing manufacturers with a substantial backlog of future production commitments.

• Manufacturing inventories increased 0.4% to $966.9 billion, extending the inventory growth streak to ten consecutive months. The inventories-to-shipments ratio remained at 1.47.

• Overall, the July data point to a manufacturing sector that is expanding modestly, with rising orders, shipments, inventories, and a large backlog. The combination suggests continued production activity, although the slightly lower unfilled-orders-to-shipments ratio indicates some improvement in manufacturers’ ability to work through their backlog.

U.S. Census Bureau. (2026, September 2). Monthly full report on manufacturers’ shipments, inventories, & orders. U.S. Department of Commerce. https://www.census.gov/manufacturing/m3/current/index.html

Cooking On a Boat-Micro and Creative or Health

Cooking on a boat is something you have to do from time to time if you own one. A lot of people who live or spend time on boats, especially when they're at the docks, will simply order food or pick something up somewhere. There's nothing necessarily wrong with that, and I do it from time to time myself. When I order food, I try to choose something relatively healthy because when you eat out, you don't always know exactly what's in your food. Eating out is often meant to be a treat, so there can be a lot of unhealthy ingredients involved.

(Illustrative Only)
Cook for food quality.

I enjoy cooking not only for economic reasons, but also because it's a hobby and something fun to do. More importantly, cooking your own food can be healthier. When you start taking better care of yourself, getting the proper fitness, and paying attention to what you eat, things begin to change. These aren't new ideas; the challenge is simply being consistent. Sometimes I'm sporadic with these habits, and other times I'm more consistent.

Cooking on a boat does take some skill because you don't have the same space or equipment that you would have at home. One of the things I rely on is an air fryer. I love the air fryer because it has a small grill, a dehydrator, and an oven all in one. Being able to use multiple functions in a single appliance saves valuable space and allows me to get more use out of one piece of equipment.

Traditional ways over gas grill, oven, or stove also makes sense but the air fryer can do it as long as you are on the dock and/or have your generator running. 

The other challenge is learning how to maximize the limited space. You're working with a smaller kitchen and less refrigeration capacity, so you have to be smart about how you store and prepare your food. That means cooking smaller amounts, using the space efficiently, and, importantly, making as little mess as possible. Over time, I've learned how to make the most of what I have.

A few things I cooked recently was bean soup, tortilla bread, pumpkin pie, granola, mushroom soup pie, cheese pastries, etc. 

Tips:

1. Cook in small batches.

2. Maximize counter space. 

3. Put down foil or wax paper so you can roll up and throw away with less mess. 

4. Do cooking in stages to make it easier. 

5. Use multiuse pots, pans, etc. to limit washing. 

6. Be creative with less supplies on hand. 

I'm a certified fitness trainer and a certified yoga instructor so if your interested in some virtual work send me a message to the right. 

Cooking on a Boat: Delicious Recipes for On-the-Go Meals-Yacht World

Boat Cooking Is Different

August 2026 ADP's Employment Report Shows Hiring Weakness

ADP’s employment report gives us another way to think about how the job market is performing. In August 2026, private employers created only 38,000 jobs, which suggests that hiring is slowing. When we look more closely at the sectors gaining and losing jobs, education and health services led the gains, adding 45,000 jobs. Health services, in particular, continues to represent a significant source of employment growth, while education still has considerable room for improvement.

The largest job losses occurred in manufacturing, which declined by 17,000 jobs, followed by professional and business services, which lost 16,000. Trade, transportation, and utilities also experienced declines. Overall, the data show an uneven labor market, with some industries continuing to expand while others are pulling back.

Another interesting trend is that large businesses accounted for most of the job gains, while small businesses added only a modest number of jobs and medium-sized businesses were essentially flat. Wage growth also remains moderate, suggesting that employers are continuing to exercise caution in both hiring and compensation.

August 2026 ADP National Employment Report: Private-Sector Employment Increased by 38,000 Jobs

• Private-sector employment increased by 38,000 jobs in August, the slowest pace of job creation since January and below July’s revised gain of 46,000.
• Education and health services led employment growth with 45,000 new jobs, followed by leisure and hospitality with 16,000 and construction with 12,000.
• Several industries lost jobs, including manufacturing (-17,000), professional and business services (-16,000), trade, transportation and utilities (-5,000), and information (-4,000).
• Large businesses accounted for most of the gains, adding 34,000 jobs, while small businesses added 3,000 and medium-sized businesses were essentially unchanged.
• Wage growth remained positive but continued to moderate. Base pay increased 3.2% year over year, while gross pay increased 4.7%; job-changers continued to experience faster pay growth than job-stayers.

ADP Research. (2026, September 2). ADP National Employment Report: Private-sector employment increased by 38,000 jobs in August. ADP. https://mediacenter.adp.com/2026-09-02-ADP-National-Employment-Report-Private-Sector-Employment-Increased-by-38,000-Jobs-in-August

The Second Class Citizen....

Second-class citizenship occurs when laws and institutions do not protect everyone equally or equitably. We are discussing the short and long-term consequences of unchecked biased in decision making and institutional outcomes from an economic and social perspective using a philosophical thought experiment. Let us consider what might happen if a small closed network system uses prejudice, corruption, intimidation, or abuse of power to target others while avoiding accountability. Years of wrongdoing went unchecked and whistleblowers discarded and targeted into silence.

The problem is not simply individual bigotry. It becomes a broader social problem when courts, justice officials, or other institutions fail to stop misconduct or correct the harm done to victims (P.S. the vast majority do the right thing and the young should join service to do their part, put an end to codes of silence and squeeze out those circumventing our most sacred laws. Respect those who do good for society. In some views this would be in alignment with oath and duty. In one philosophical line it could further be argued that those who are trying to encourage systems to reach their highest potential are more patriotic, loyal and good conscious contributors to society than those who misuse system and misallocate resources for self or group gain. In a merit based system they have earned their spot. Institutions must serve the needs of the poeple and not visa versa or it goes out of true north alignment. ). Honor what is good and challenge what is wrong is an important path forward. 

The Allegory of the Clan is a hypothetical philosophical thought experiment in which some members of society are openly targeted while courts protect people who are more similar to or within the network of decison makers. Although the majority may be trying to do the right thing, the example highlights a potential serious systemic problem when wrongdoing is allowed to continue without correction (i.e. stopping because your getting caught and not because you have moral conscious.). Even when wrongdoing is well known the process of victim dumping is used over and over.  It is convenient and the checks and balances intentionally weak. It is the preferred path....

Other victims have no voice so we must continue to stand for what our great grandparents were trying to build, a place of fair treatment, freedom, and representation of all people....

Those who swear oaths to uphold these institutions and understand their purpose should recognize the danger of unchecked authority when it is not focused on its mission, purposes, and promises. At a minimum, they should ask whether our institutions are truly serving everyone. If there are people it does not see worthy of also serving therein opens up a concern. As a general rule those who stand for what is right have honor while those who don't encourage darker times.  

That is why checks and balances matter. Laws must apply equally, institutions must be accountable, and victims must have meaningful avenues for justice. Without these protections, people can effectively become second-class citizens. A second class citizen robs society of its best and brightest and therin lies a crime on a whole new level; at least if you are mission focused; and there are no additional influences. It is up to you to decide which ring to kiss. 

*The Allegory of the Clan is for philosphical purposes so take with a grain of salt. It is meant to explore concepts and one can come to any conclusion they so wish. There is no right or wrong answer. 

For discussion purposes what is a second class citizen? These two in a quick search showed up.  The definitions seem only partial.

Second Class Citizen Wikipedia

The Making of a Second Class Citizen

US Labor Market July 2026: Stable, Not a lot of Movement, a Little Boost to Manufacturing

 The U.S. labor market appears to be showing relative stability. The Job Openings and Labor Turnover Summary for July 2026 indicates that most major labor market measures remained relatively steady. Hiring was somewhat subdued, worker turnover was moderate, and layoffs remained low. There was also some positive movement in the manufacturing sector, which aligns with other recent data showing improvement in manufacturing.

Overall, this was not a bad report. In fact, it was fairly positive. The results suggest that the labor market remained stable rather than showing signs of significant deterioration. While hiring was not particularly strong, low layoffs and moderate turnover indicate that employers were generally maintaining their workforces. Combined with positive developments in manufacturing, the report provides another indication that the broader economy continues to demonstrate resilience.

U.S. Labor Market Shows Continued Stability but Slower Hiring

• Job openings remained relatively stable, with 7.3 million openings in July 2026, representing a 4.4% job openings rate.
• Hiring remained subdued, with 5.1 million hires and a 3.2% hiring rate. Hiring declined notably in professional and business services by 188,000.
• Worker turnover remained moderate, with 3.1 million quits, suggesting that workers' willingness or ability to voluntarily leave jobs remained relatively limited.
• Layoffs remained contained, at 1.7 million, or a 1.0% rate, indicating that employers were not engaging in widespread reductions in workforce.
• Manufacturing provided a positive signal, as job openings in durable goods manufacturing increased by 76,000. Overall, however, the data suggest a labor market that is stable but gradually becoming less dynamic, with fewer changes occurring through hiring and worker movement.

U.S. Bureau of Labor Statistics. (2026, September 1). Job openings and labor turnover summary: July 2026. U.S. Department of Labor. https://www.bls.gov/news.release/jolts.nr0.htm

S&P Global’s August 2026 Manufacturing PMI Summary is Optimistic

Looking at S&P Global’s August 2026 Manufacturing PMI summary, the overall picture is fairly optimistic. Manufacturing activity remained solid, with production and new orders continuing to grow. However, output expansion slowed so we will see if the momentum is short or long-lived.

Supply chain issues also continue to affect manufacturers, particularly the cost and availability of materials and other goods needed for production. In response, some companies appear to be purchasing materials in advance and building inventory cushions to protect against potential disruptions.

The positive side is that business confidence remains relatively strong. If that optimism continues, it could eventually translate into increased investment and hiring in the manufacturing sector. For now, though, we will have to wait and see whether these positive trends continue and ultimately translate into stronger employment and sustained manufacturing growth.

S&P Global US Manufacturing PMI® - August 2026

• The headline S&P Global US Manufacturing Purchasing Managers' Index remained unchanged at 53.9 in August 2026, signaling a solid expansion in the US manufacturing economy.

• Production volume and new orders both continued to grow, but output expansion slowed to its weakest rate since February while export sales declined due to tariffs.

• Supply chain delays deepened, with lead times worsening alongside input cost inflation driven by tariffs and ongoing conflict in the Middle East.

• Companies engaged in inventory building of inputs and finished goods to hedge against future price increases and supply disruptions.

• Business optimism reached a three-month high, which drove the fastest rate of job creation recorded in the year 2026 so far.

S&P Global. (2026, September 1). S&P Global US Manufacturing PMI®: Solid improvement in business conditions masks slower demand and output growth as supply issues persist. S&P Global Market Intelligence. https://www.pmi.spglobal.com/Public/Home/PressRelease/bfb270a44c2b4490a0f1adb76b8e8f9f