All articles tagged with #inventory shortages
Saks Fifth Avenue is facing imminent bankruptcy due to financial struggles following a costly acquisition of Neiman Marcus, leading to inventory shortages, delayed vendor payments, and declining customer confidence, which threaten its future viability.
New vehicle sales in the US surged 20.6% year-over-year in Q3, reaching 4.08 million vehicles, driven by pent-up demand and recovering from inventory shortages caused by the pandemic. Legacy automakers such as General Motors and Ford reported positive sales growth, while Tesla's global sales increased by 27% in Q3. Fleet sales and retail sales both saw significant increases, with fleet sales surging over 50% in September. However, inventory shortages and strikes at legacy automakers could put pressure on prices and potentially lead to inflation.
Auto dealerships, including Ford, General Motors, and Stellantis dealerships, are preparing for potential inventory shortages as the United Auto Workers (UAW) union threatens a strike if new contract agreements are not reached. Dealerships are working to shore up vehicle and parts inventories in case production lines stop rolling. A strike against all three automakers could result in 100,000 fewer vehicles produced each week. Used car prices have risen significantly in recent weeks, and new car prices are also increasing. The UAW strike would have a significant impact on dealerships, communities, and the U.S. economy as a whole. Negotiations are ongoing, but both sides are negotiating from positions of power.
The construction job market is booming, with 23,000 jobs added in June, including 800 in residential construction. This growth reflects the rebound in the new home market and the trend of homeowners upgrading their properties instead of selling. Jobs for residential buildings are up 11% compared to pre-pandemic levels, while employment for nonresidential buildings increased by 1.8%. The lack of existing-home inventory has supported new construction, as homeowners are reluctant to sell and lose their low mortgage rates. However, the construction industry is facing labor shortages and rising material prices, making affordable single-family construction more challenging.