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View Full Version : Wholesale Prices Up 6.3% in '07; Largest amount in 26 years




FrankRep
01-15-2008, 09:15 AM
Whole Prices Soared Last Year
Wholesale Prices in 2007 at Fastest Pace in 26 Year; Retail Sales Weak, Inventories Stack Up


By Martin Crutsinger, AP Economics Writer
January 15, 2008


WASHINGTON (AP) -- Wholesale inflation last year shot up by the largest amount in 26 years while retailers suffered their worst December shopping season in five years as mounting economic woes caused consumers to put away their wallets.

The Labor Department reported that wholesale inflation was up 6.3 percent for all of 2007, reflecting a huge increase for the year in various types of energy costs ranging from gasoline to home heating oil.

Meanwhile, retail sales fell by 0.4 percent in December, the worst showing in six months, the Commerce Department reported. Consumer confidence has plunged, reflecting the worsening housing slump and a lingering credit crisis.

In a third report, the government said that inventories held by businesses rose by 0.4 percent in November, reflecting big increases in stockpiles held by manufacturers and wholesalers. The 0.4 percent rise matched a similar increase in September and was in line with expectations. Inventories had risen by a much smaller 0.1 percent in October.



SOURCE:
http://biz.yahoo.com/ap/080115/economy.html?.v=7