The 0.4% drop in import prices in May is the most significant monthly decline since December. Primarily driven by lower gasoline prices, the decline is another signal of easing inflation and raises the possibility of Federal Reserve interest rate cuts later this year. Import prices increased 1.1% from a year earlier, according to Labor Department data.

MDM's June 2024 forecast for US wholesale distribution showed an improved revenue outlook for 2024 and 2025, with 3.3% and 4.8% growth, respectively, up from 2.7% and 4.3% a month earlier. Twelve of the 19 sectors tracked showed improved 2024 projections, with industrial distributors recording the most significant gain. Eleven of 19 showed increased projections for the coming year, again led by industrial distributors.

Manufacturing and logistics startups are moving ahead of service industries when it comes to the founding of new business, according to the Global Entrepreneurship Monitor from Babson College. Jack Keough, president of Keough Business Communications and former editor of Industrial Distribution, shares recent examples of distribution startup success and emphasizes the ongoing importance of entrepreneurial drive and ingenuity to the industry.

Roofing and building materials distributor Beacon has opened two locations in Washington state that will serve specialty waterproofing contractors and one in Terrell, Texas, for residential and commercial roofers. The company has added 23 branches overall in 2024 via 10 branch openings and four acquisitions.

Increased supply chain vulnerability as resilience to business interruption risks deteriorates is among 16 major challenges to society and business, according to a report from Swiss Re. The factors affecting supply chain strength include unanticipated technological outages, political disruption and natural catastrophes, according to the report.

Global air cargo demand was up 12% year-over-year in May, according to Xeneta, owing in part to healthy e-commerce activity from China to North America. Double-digit growth for 2024 is a possibility, says Niall van de Wouw, Xeneta chief airfreight officer, but if the US suppresses ecommerce from China, consumer demand may be affected and in turn alter growth rates.

AI has the potential to disrupt sales, but effective selling requires a human touch, says Adnan Zijadic, director analyst in the Gartner Sales Practice. While Zijadic recommends using AI for applications such as data and knowlege graphs, he says "buyers still value that human connection and are more likely to find value affirmation from a sales rep than from a digital interaction."

Half of chief marketing officers surveyed by Boston Consulting Group have increased their brand's use of generative AI in content creation, while more than 30% have scaled use to pinpoint social media trends. In addition, around 80% of CMOs say generative AI is improving productivity, but 18% have rejected its use entirely, up from 12% in 2023.

US companies boosted their cash holdings to a record $4.11 trillion in the first quarter, a 12.6% rise from the previous year and $1.28 trillion above pre-pandemic levels, according to an analysis of Federal Reserve data from Carfang Group. Economic shocks in recent years have led many companies to build cash buffers, while continued economic strength and high interest rates have helped those cash reserves grow. Corporate time deposit holdings increased 46.7% from a year earlier and money-market holdings are up 12.4%.

The Federal Reserve opted to hold interest rates steady this week, but investors are continuing to bet on slowing inflation, powering the performance of the S&P 500. The Fed's forecast to make just one rate cut in 2024 "seems like an overly gloomy view on inflation progress," notes Charlie Ripley, an investment strategist at Allianz Investment Management.

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