The U.S. economy grew at a modest pace in July and August as a strong labor market failed to put much upward pressure on wages and prices, a Federal Reserve report showed.

“In general, expectations of wage growth for the coming months were modest” and price increases “remained slight overall,” according to the Fed’s latest Beige Book release, a survey of business contacts published Wednesday in Washington.

While the job market “remained tight in most districts,” overall consumer spending was “little changed” from the previous report, it said.

Business contacts in real estate and construction mentioned concerns about the upcoming U.S. presidential election.

The U.S. central bank’s policy-setting Federal Open Market Committee meets Sept. 20-21 to decide on interest rates, which have been held steady this year following a hike in December that marked the first in nearly a decade.

Mixed readings on the U.S. economy throughout the year and sluggish progress toward Fed officials’ 2 percent inflation target have so far prevented another increase.

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