The overall economy grew at a modest annual rate of 2.5 percent in the April-June quarter. Many analysts believe that growth in the July-September quarter will be around an annual rate of 2 percent to 2.5 percent. Some economists believe growth and hiring are strong enough for the Fed to begin slowing its bond purchases at the September meeting. The $85 billion a month in purchases of Treasury and mortgage bonds have kept long-term interest rates low. Low rates have encouraged more people to buy cars, trucks and homes this year. That helped the auto industry in August to its best sales in six years. On Wednesday, Toyota, Ford, Nissan, Chrysler and General Motors all reported double-digit sales gains for August, led by strong sales of pickup trucks and small cars. The Fed survey found that dealerships across the country were optimistic about sales of both new and used cars for the rest of this year. Several districts also noted modest growth in manufacturing activity, including Philadelphia, Richmond, Atlanta, Chicago, Kansas City and San Francisco. In addition to autos, consumers stepped up purchases of home furnishings and other products related to home sales, the beige book noted. Home sales continued to rise in many areas. And some districts noted that recent increases in home price mortgage rates were spurring "fence sitters" to close deals out quickly. Several districts reported a rebound in tourism, noting increases in camping permits and visits to state and national parks. New York reported a pickup in ticket sales at Broadway theaters. Despite steady hiring, the Fed report noted that workers are seeing limited pay increases. Some districts noted that workers with specialized skills are seeing larger pay increases, particularly those working in construction and high-tech industries. And U.S. consumers barely increased spending more slowly, held back by weak income growth.