Wednesday, September 2nd17.4°C
26775
26015

US wholesale stockpiles up 1.1 per cent in April; steady gains point to stronger growth

WASHINGTON - U.S. wholesale businesses built up their stockpiles of goods in April, a sign that companies expect stronger economic growth in the coming months.

The Commerce Department said Tuesday wholesale stockpiles expanded 1.1 per cent in April, following a 1.1 per cent gain in March. The result marks 10 straight months of rising inventories.

Sales at the wholesale level climbed 1.3 per cent, led by autos, furniture and pharmaceutical drugs. Sales rose 1.6 per cent in March. Year-over-year, sales are up 6.7 per cent.

Because sales have roughly kept pace with the higher inventories, companies will likely need to continue restocking their shelves to meet rising consumer and business demand. That should help to fuel faster economic growth as more factories crank up their production and the spending ripples through the broader economy.

The Commerce Department report covers inventories held at the wholesale level. In a later report, the government will detail inventories at the manufacturing and retail levels.

The economy shrank in the January-March quarter due largely to the cold winter. Gross domestic product fell 1 per cent in the first three months of 2013. Most economists expect the economy to accelerate over the coming months, as warmer weather fuels increased auto buying and hiring.

Employers added 217,000 jobs in May and 282,000 in April, the Labor Department said Friday. The 6.3 per cent unemployment rate and continued job growth should lead to more robust growth.

The forecasting firm Macroeconomic Advisers estimates that the U.S. economy will grow at annual clip of 3.9 per cent in the April-July quarter and 2.4 per cent over the course of the entire year.

The Canadian Press


Read more Business News

27126


Recent Trending




Today's Market
S&P TSX13534.12+52.22
S&P CDNX550.16+2.19
DJIA16221.10+162.75
Nasdaq4701.11+65.00
S&P 5001932.81+18.96
CDN Dollar0.7534-0.0011
Gold1133.10-5.60
Oil45.44+0.03
Lumber235.70+0.70
Natural Gas2.652-0.050

 
Okanagan Companies
Pacific Safety0.21+0.03
Knighthawk0.010.00
QHR Technologies Inc1.19+0.01
Cantex0.04-0.01
Anavex Life Sciences1.25-0.07
Metalex Ventures0.05-0.00
Russel Metals21.10-0.11
Copper Mountain Mining0.60-0.02
Colorado Resources0.075-0.010
ReliaBrand Inc0.0045+0.0005
Sunrise Resources Ltd0.02+0.00
Mission Ready Services0.08-0.01
Decisive Dividend Corp2.62+0.12

 





FEATURED Property
23501891114 Oswell Drive
3 bedrooms 3 baths
$594,800
more details
image2image2image2
Click here to feature your property
Please wait... loading


Agree to ask questions

Photo: Thinkstock.comThe STORY: I think, said Janet to herself, that I just figured out a solution to my problem of letting the prospect run the meeting.With that thought in mind, she got out of her c...


Your business is not a bank

Photo: Thinkstock.comYour plumbing business is not a bank. But when you are giving terms to customers that exceed what you get from your suppliers, you become one. And every time that someone does not...


Begin with the end in mind

Photo: ContributedWe humans love our dates: birthdays, anniversaries, 9/11, the Ides of March - our lives are intimately woven within the tapestry of the calendar. So it should come as no surprise whe...

_








Member of BC Press Council


27074