US wholesale stockpiles rise 0.1 percent in July


By MARTIN CRUTSINGER

Associated Press

U.S. wholesalers increased in their stockpiles only slightly in July after three monthly declines and their sales improved at the weakest pace in seven months.

The Commerce Department said Wednesday that wholesale stockpiles rose just 0.1 percent in July from June. That followed a 0.3 percent decline in June.

Sales rose just 0.1 percent in July, the smallest gain since December. Still, that’s the fourth straight month that sales have risen.

Some economists had thought that wholesalers might ramp up their stockpiles in July after cutting them from April through July. The tiny increase could add to worries that the current July-September quarter is off to a weak start.

More restocking boosts factory production, driving overall economic growth.

The economy grew at a 2.5 percent annual rate in the April-June quarter. Restocking by all businesses added 0.6 percentage points to growth in the second quarter, although the gain was driven by retailers, manufacturers and farmers.

Many economists believe growth is slowing in the July-September quarter to an annual rate of 2.3 percent, although a handful of July data suggest the figure could be weaker. In addition to the sluggish restocking, businesses cut spending on long-lasting manufactured goods and new-home sales plunged.

Wholesale inventories are up 29.4 percent from the low point reached in September 2009, a period when businesses had been trimming stockpiles in the face of falling demand during the Great Recession.

For July, auto stockpiles rose 0.4 percent, furniture inventories increased 1 percent and machinery stockpiles rose 1.9 percent.

The July increase left stockpiles at $500 billion, or 2.2 percent higher from a year ago.


Reader Comments ...


Next Up in Business

Former sheriff’s sergeant alleges jail cover-up
Former sheriff’s sergeant alleges jail cover-up

A former Montgomery County Sheriff’s sergeant accused in a lawsuit of beating jailed homeless veteran Joseph Guglielmo into a coma announced before the incident that he planned to “beat that old man’s (expletive),” according to testimony in the lawsuit from another former sergeant. Sgt. Eric Banks, who retired from the department...
Millions in government funds sought for job-creating projects
Millions in government funds sought for job-creating projects

A wish list of regional projects that adherents hope could get millions in federal and state funding has been unveiled. Now it’s your turn to comment on the ideas. The Dayton Development Coalition has unveiled a list of proposals that advocates hope could attract federal government funding, ideas some hope could boost the Dayton area in defense...
Area parents told 3-year-old cancer free two days before Thanksgiving
Area parents told 3-year-old cancer free two days before Thanksgiving

A Cedarville-area couple has a lot to be thankful for after learning two days before Thanksgiving that their three-year-old daughter can stop chemotherapy after new tests found no cancer. Stephanie Caraway said Tuesday Dayton Children’s Hospital gave the “no evidence of disease” diagnosis the family had been praying for their daughter...
5 ways to stay out of debt this holiday shopping season
5 ways to stay out of debt this holiday shopping season

Shopping styles and spending habits are highly personal, but one thing is common — if you’re not careful you can spend more than you make. Patti Stoll, manager of PNC Bank’s wealth management team in Dayton, suggests these tips for dodging overspending this holiday season and staying in the black: Make a list. Shop...
‘Tragic result’: Some use opioid treatment drug to get high
‘Tragic result’: Some use opioid treatment drug to get high

A treatment drug widely-prescribed to help Medicaid recipients get off opioids is being manipulated, sold on the street and used as barter in area jails, according to addiction treatment advocates. “The tragic result is that many addicts are selling their Suboxone script, using part of the cash as a monthly stipend and then purchasing much less...
More Stories