Quantcast

U.S. wholesale business suffers steepest drop in five years

Published March 11, 2014 8:14 am

This is an archived article that was published on sltrib.com in 2014, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.

Washington • U.S. wholesale businesses in January suffered their steepest sales drop in nearly five years, yet they continued to increase their stockpiles. This suggests that companies expect the economy to roar back after experiencing an abrupt winter slowdown.

The Commerce Department says wholesalers boosted stockpiles 0.6 percent in January from December. Rising stockpiles boost economic growth because they reflect increased production at factories, a sign that wholesalers anticipate a stronger economy.

But sales tumbled 1.9 percent in January. That's the largest decline since March 2009, when the economy was in recession.

Heavy snowfall and bitter cold struck much of the United States in January, causing shoppers to stay at home and retail sales to fall 0.4 percent that month.

Still, wholesale businesses have seen sales rise 3.9 percent year-over-year.

 

 


USER COMMENTS
Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
comments powered by Disqus