Weak Housing, Factory Data Hint at Modest 4Q Growth

Factory activity in the Midwest shrunk in November and contracts to buy previously owned U.S. homes rose marginally, the latest suggestions that economic growth will probably remain modest in the fourth quarter. The raft of weak economic reports isn't likely to stop the Federal Reserve from hiking interest rates next month provided job growth doesn't slow significantly in November, economists say. "It suggests that there is no obvious uplift for growth in the near-term," said Millan Mulraine, deputy chief economist at TD Securities in New York.