Friday, January 30th2.1°C
24779
24889

US businesses increased stockpiles 0.4 per cent in March, with sales up strong 1 per cent

WASHINGTON - U.S. businesses increased their stockpiles in March, and sales increased by the largest amount in 10 months.

Stockpiles rose 0.4 per cent after a 0.5 per cent rise in February, the Commerce Department said Tuesday. Sales in March jumped 1 per cent, the largest advance since May, after a 0.9 per cent increase in February.

Both months represented a solid rebound after a 0.9 per cent sales decline in January that was blamed in part on the harsh winter weather.

The two months of sizable gains in sales should encourage businesses to keep restocking to meet rising demand. That would mean increased orders to factories and rising production, which would lead to stronger economic growth.

Many economists expect growth to rebound significantly in the second quarter after slowing sharply in the first.

Inventories held by wholesalers increased 1.1 per cent in March, while those held by manufacturers edged up a tiny 0.1 per cent. Inventories at the retail level were unchanged.

In the January-March quarter, the economy slowed to a lacklustre annual growth rate of 0.1 per cent, a slump that economists have attributed mainly to severe winter weather. A slowdown in inventory building subtracted 0.6 percentage point from first-quarter growth.

Economists think the drag from slower stockpiling is easing in the second quarter as businesses respond to stronger sales.

Many analysts think annual growth will be 3 per cent or higher in the April-June period. In a separate report Tuesday, the government said retail sales rose just 0.1 per cent in April, less than expected. But that followed a 1.5 per cent surge in March.

Economists are forecasting that annual growth will hold around 3 per cent in the second half of the year. That pace could provide the strongest growth for the overall year since 2005, two years before the Great Recession hit.

The Canadian Press


Read more Business News

24813


Recent Trending




Today's Market
S&P TSX14673.48+37.521
S&P CDNX676.81+9.70
DJIA17164.95-251.90
Nasdaq4635.24-48.167
S&P 5001994.99-26.26
CDN Dollar0.7856-0.0067
Gold1286.60-5.10
Oil49.60+3.16
Lumber322.50+0.70
Natural Gas2.87-0.111

 
Okanagan Companies
Pacific Safety0.120.00
Knighthawk0.010.00
QHR Technologies Inc1.400.00
Cantex0.035-0.005
Anavex Life Sciences0.174-0.006
Metalex Ventures0.040.00
Russel Metals23.42-0.16
Copper Mountain Mining0.99+0.01
Colorado Resources0.150.00
ReliaBrand Inc0.01+0.0031
Sunrise Resources Ltd0.050.00
Mission Ready Services0.2350.00

 



24667

FEATURED Property
2127503226-1099 Sunset Dr.
2 bedrooms 2 baths
$279,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Leaving a job: changing careers

Many people, who find themselves out of work and with time on their hands, and money in their pockets due to lay-off, start thinking about a career change. If you weren’t happy with the directio...


Service fit makes happy employees

Finding the right employees for the front lines of your company is key to developing a great service attitude within your company. It is just as important as hiring the right accountant, manager, sale...


How to price: workbook approach

In 2008 Self Counsel Press published my book - Pricing Strategies for Small Business. The book is now available in Europe, India, Russia and the United States. The purpose of the book was to make avai...

_








Member of BC Press Council


24697