Operators of cattle feedlots and hog producers continued to lose money. Labor markets in much of the district remained very tight, with more evidence of wage pressures than in the recent past. Prices edged down at the retail level and declined slightly for most manufacturing materials. In contrast, prices were up slightly for some construction materials. Retail Sales Retailers reported a slight increase in sales last month, improving on the robust performance of the previous period.
Most respondents expect sales to improve considerably over the next three months.
Inventories expanded modestly last month, and retailers were generally satisfied with current stocks. Inventories in the near future are likely to expand to match seasonal growth in demand. Automobile dealers reported good performance last month as sales of sport utility vehicles and light trucks remained strong. Total sales were moderately higher than a year ago. Inventories edged up once again, with the exception of GM vehicles.