Businesses reduced inventories at the wholesale level for a record 11th consecutive month in July, although sales rose by the largest amount in more than a year, according to government data released Friday.

Rising sales should help convince businesses to stop slashing inventories and increase their orders for more goods, a shift that would boost production at the nation’s beleaguered factories and aid a broader economic recovery.

The Commerce Department reported today wholesale inventories declined 1.4 percent in July, more than the 1 percent drop economists expected. But that decline followed a 2.1 percent fall in June, down from the 1.7 percent drop originally reported.

Sales at the wholesale level rose 0.5 percent in July, the fourth consecutive increase and the biggest gain since a 2 percent jump in June 2008.

Wholesale inventories are goods held by distributors who generally buy from manufacturers and sell to retailers. They make up about 25 percent of all business stockpiles. Factories hold another third of inventories and retailers hold the rest.

The July inventory drop left the inventory to sales ratio at 1.23, meaning it would take 1.23 months to exhaust stockpiles. That was slightly lower than the 1.25 ratio in June, but still above the 1.13 inventory to sales ratio of a year ago.

Employer costs for retirement and savings plans averaged $1.29 per hour worked in June 2009, which accounted for 4.4 percent of total compensation costs. Overall, employers spent an average of $29.31 per hour worked for compensation. Wages and salaries averaged $20.42, and benefits averaged $8.89.

Move over Brooke Boemio, the Vegas realtor who enjoys climbing through windows, we’re withdrawing your award and giving it to Las Vegas.

 “Less Vegas,” the August 14 Time Magazine cover article has as far as we can see, with the exception of a letter from Oscar Goodman gone unchallenged; its leaders and its publicists, to say nothing of the real estate firm whose former agent was some prominent in the story. And two part series in The Los Angeles Times this week: “The Dream Dies in Vegas.”

Back in late August, California, with a vengeance answered rather unsophisticated and sardonic ads by the Nevada Development Authority Las Vegas has been running there to woo business to Nevada: “California Strikes Back At Ads Wooing Golden State Business.”

Mayor Goodman did have a Letter to the Editor in Time following the “Less Vegas” article:

The article “Less Vegas” [Aug. 24] may leave readers with the impression that Las Vegas’ best days are behind us, but that couldn’t be further from the truth. There’s still a lot of activity and excitement left in the city. Even during the worst recession in decades, Las Vegas is projected to host about 36 million visitors in 2009. In the past year, Las Vegas has had more than $13 billion of new business development as well as major projects that are set to open in the next few months. Like many cities, Las Vegas has felt the impact of the economic downturn. However, investors still have confidence in Las Vegas, and the long-term future of our city is bright. Oscar B. Goodman, Mayor, LAS VEGAS.

But how man really read “Letters to the Editor.” We had to search to find this one.

Sure, tourism will return to “normal” on the Strip. But, these stories have “legs.” As such they could have an impact on one of the primary business objectives of Las Vegas: Bringing non-gaming enterprises to the city (and the state) to provide the obvious economic benefits or a more diverse economy.

Las Vegas is in a crisis situation with no manifest long or short term strategy to work its way out. Advertising alone won’t do it: As the economic improves, potential incoming businesses will use media reports in their research.

As those stories are largely unanswered those prospects may well just say “No” to a move here.

U.S. employers cut another 216,000 jobs in August, while the unemployment rate rose to a 26-year high, the Department of Labor reported today in a report showing a still fragile labor market.

The Labor Department said the unemployment rate rose to 9.7 percent after dipping to 9.4 percent in July and the decline in payrolls was the smallest in a year. The department revised job losses for June and July to show 49,000 more jobs lost than previously reported.

Analysts had expected non-farm payrolls to drop 225,000 in August and the unemployment rate to rise to 9.5 percent.

The labor force increased by 73,000 in August, indicating the return of some jobless workers who had given up looking for work accounting for part of the rise in the unemployment rate.

Since the start of the recession in December 2007, the economy has shed 6.9 million jobs, the department said. Stubbornly high unemployment is wearing on consumer confidence and crimping domestic demand, pointing to an anemic recovery from the worst slump in 70 years. Consumer spending accounts for over two-thirds of U.S. economic activity.

However, the August report confirmed the pace of layoffs was easing from early this year, when nearly three quarters of a million jobs were lost in January.

Manufacturing employment fell by 63,000, with a total of 2 million factory jobs lost since the start of the recession. Payrolls in construction industries dropped 65,000 after falling 73,000 in July.

The service-providing sector purged 80,000 workers in August, while the goods-producing industries shed 136,000 positions.

Education and health services continued to add jobs, with payrolls increasing 52,000 in August after rising 21,000 in July. Government employment fell 18,000 after slipping 28,000 in July.

Click here for the full news release.

New orders for manufactured durable goods in July 2009 increased 1.3%, to $355.5 billion.  Shipments and unfilled orders were virtually unchanged.  Inventories declined 0.7% from June 2009, to $503.1 billion.