Fed Survey Shows Growth Mostly Modest Across U.S. WASHINGTON - The American economy grew throughout the country from late May through early July, bolstered by the housing recovery, consumers and more factory output. A Federal Reserve survey released on Wednesday showed that 11 of the Fed banking districts reported "modest to moderate" growth, while Dallas reported "strong" growth for the second straight survey. Housing construction and home prices improved, while consumer spending increased in most districts, fueled by rising car and truck sales. The housing recovery is also driving more production of lumber, materials and construction equipment. A separate report on Wednesday showed that builders started work on fewer homes in June. But applications for permits to build single-family houses rose to the highest level in five years, suggesting the housing recovery will continue. The Fed's Beige Book survey showed that hiring held steady or increased in most districts. But employers in some districts were reluctant to hire permanent or full-time workers. Five districts reported strong auto sales, up from just three in the previous report. Retail sales rose in nearly all districts except for New York. The Beige Book survey is based on anecdotal reports from businesses. The latest report painted an optimistic picture of an economy growing at a steady pace. Job gains have picked up this year, bolstering incomes and enabling consumers to spend more. Employers have added an average of 202,000 jobs a month so far this year, up from about 180,000 a month in the previous six months. The Commerce Department reported that builders began construction on new homes at a seasonally adjusted annual rate of 836,000 homes in June. That was nearly 10 percent below May's total of 928,000. Most of the drop occurred in apartments, where housing starts fell almost 27 percent in June from May. Apartment construction is volatile from month to month. Applications for permits to build single-family homes rose for the third straight month to 624,000, the highest since May 2008. That suggests home construction should rebound in the coming months. Overall permits fell to 911,000 in June, from 985,000 in May, which was also revised higher.