Aug. Wholesale Sales Up 0.9%

Wholesale sales in the United States jumped 0.9% in August, the Commerce Department said. The increase was the largest gain in four months – an indication that factory production and shipments may be on the rise.

Inventories slowed their growth – only rising 0.2% in August after a 0.6% increase in July.

Analysts told Bloomberg that so far in 2002, “demand has outstripped production” providing an opportunity for growth in manufacturing.

The inventory-to-sales ratio fell to a record low of 1.22 months. The ratio measures the amount of time goods sit on wholesalers shelves before being sold.

Observers had expected inventories to rise 0.3% and sales to rise by 0.4%, Bloomberg reported.

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