Approximately 45,000 members of the International Longshoremen's Association began a strike today, halting operations at 36 ports on the East and Gulf Coasts due to failed contract negotiations with the United States Maritime Alliance. The strike is expected to significantly disrupt trade and could cost the US economy hundreds of millions of dollars daily, particularly affecting supply chains ahead of the holiday season.

The personal consumption expenditures price index, the Federal Reserve's preferred inflation gauge, rose 0.1% in August, bringing the annual inflation rate to 2.2%, the lowest since February 2021, according to the Commerce Department. This progress toward the Fed's target eases the way for future interest-rate cuts. Core PCE, excluding food and energy, also increased by 0.1% for the month and 2.7% year over year.

Careful attention to elements of designing an effective distribution network, including gathering data and making a series of interconnected decision, can provide a competitive edge, lead to more satisfied customers and increase market share, says Industrial Supply Association CEO Brendan Breen. Designing the best distribution network involves being willing to modify operations, take a close look at resources and recognizing that managing the network will be a long-term process rather than a single event, writes Will Quinn of Infor Distribution.

Wholesale inventories increased 0.2% in August to roughly $906 billion, according to an advance measure from the US Census Bureau. Wholesale inventories, adjusted for season variations but not price changes, increased by 0.7% compared to a year earlier.

Connectivity and new vehicle architectures are revolutionizing the transportation industry, allowing data sharing and innovative solutions for manufacturers and fleets, experts say. Rupert Stuetzle of Microsoft spotlights a shift toward software-centric vehicles and the need for hybrid cloud concepts to manage backend connectivity, while Torsten Scholl of Aitonomi calls for collaboration and partnerships for autonomous transport systems.

Spot rates stayed somewhat stable last week as Europe's peak season wound down and supply chains in the US monitored the potential strike activity. Drewry Shipping Consultants reported "essentially flat" rates on the Shanghai to Los Angeles leg, dropping 2% to $5,490 per 40-foot container.

The American Trucking Associations and more than 150 other stakeholders have written a letter to the House Homeland Security Committee urging passage of the Transportation Security Screening Modernization Act, asserting that the law will reduce duplication of background checks and save money. The Transportation Worker Identification Credential and Hazardous Materials Endorsement of the Commercial Driver's License are set to benefit from the changes proposed in the legislation.

Among five technology trends business-to-business marketers should be aware of is a shift from search engine optimization to generative AI optimization, which means content marketing must be "contextual, conversational and current," writes Bold Digital Architects' Noa Eshed. Other trends include the popularity of audio content, such as podcasts, and the use of newsletter platforms like Substack to replace traditional email campaigns.

Evolving the onboarding process to focus on "contribution" rather than "competence" can significantly enhance a new hire's impact. Companies can achieve this by defining decision rights in job roles, identifying key stakeholders, elucidating cultural norms, providing mentors, and utilizing "commander's intent" for goal clarity.

Overall risks to the economy are increasing, according to a survey by the National Association for Business Economics, with 39% of economists viewing a Federal Reserve "monetary policy mistake" as the greatest downside risk to the economy during the next year. This concern outpaces others, including volatility concerning the presidential election and geopolitical tensions in Ukraine and the Middle East, which 23% of economists view as significant threats. Fed Chair Jerome Powell is scheduled to speak today in Nashville, Tenn., and is expected to discuss the Fed's recent 50-basis-point interest-rate cut and the outlook for 2025.

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