US business inventories rose by 0.4% in July, slightly exceeding the expected 0.3% increase, according to the Commerce Department. Retail inventories led the rise with a 0.8% increase, while wholesale and manufacturing inventories saw modest gains of 0.2% and 0.1%, respectively. Business sales surged by 1.1%, significantly outpacing inventory growth and reducing the inventories-to-sales ratio to 1.37 from 1.38 in the previous month.

The board of electrical supplies distributor Rexel unanimously turned down a roughly $9.4 billion takeover bid from QXO, saying the offer significantly undervalued the company and did not reflect its strategic potential under its Power Up 25 plan. QXO, which recently rebranded from Silversun Technologies, is not planning to submit another bid and, despite the rejection, plans to pursue other acquisitions.

Amazon is using generative AI to boost same-day delivery efficiency by refining delivery routes, enhancing warehouse robotics, addressing ergonomic issues for workers and predicting inventory needs, says Steve Armato, vice president of transportation technology. The e-commerce giant has been developing AI tools in-house and through collaborations with Covariant and Anthropic.

An approach to managing returns that takes the entire lifecycle into account reduces hidden costs and improves customer satisfaction, writes Rich Pirrotta of ReBound Returns. It is also essential to look at processes with ecosystems in mind and to integrate technology to provide real-time data insights, writes Pirrotta.

A capacity oversupply in the domestic truckload market has not correlated as closely as it typically has with commodity pricing, in part because of the amount of volume taken on by railroads and intermodal providers, according to a USA SONAR analysis. The combination of factors may eventually drive all rates higher as truckload capacity stays vulnerable to demand shocks, writes Zach Strickland.

Organizations often fear failure, but understanding failures can offer learning opportunities and minimize future mistakes, David Brock writes. "We don't want to purposefully fail, but we must recognize failure is an option," Brock argues, adding that "we can acknowledge it, learn from it, change, adapt and succeed."

Traders are increasingly confident the Federal Reserve will cut interest rates by a half-point this week, with the likelihood at 64%. This follows economic data showing a slowing labor market and cooling inflation. The heightened expectations have driven stock markets to new highs, but experts remain cautious about any shock moves by the Fed. "The Fed tends to deliver what is fully priced in by the market, so given that track record, I still believe a 0.25-percentage-point cut is more likely," says Subadra Rajappa, head of US rates strategy at Societe Generale.

Several major companies, including Meta, Tractor Supply, Alphabet, Lowe's and Home Depot, have recently pulled back on diversity, equity and inclusion efforts, raising concerns about recruitment and retention, especially among millennials and Generation Z. MDM's Mike Hockett recently spoke to Luther Wright Jr., assistant director of client training for labor and employment firm Ogletree Deakins. Wright says HR departments are in a tough spot and recommends focusing on conflict resolution and communication.

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