2 REPORTS INDICATE A SLUGGISH ECONOMY.(BUSINESS)

Byline: DAVE SKIDMORE - Associated Press

Inflation at the wholesale level took a midsummer siesta in July. So did car buyers.

The government's reports on the Producer Price Index and retail sales, signifying a sluggish economy, held long-term interest rates near record lows on Thursday -- good news for anyone thinking of buying a house or refinancing their mortgage.

A big drop in energy costs helped push prices paid to farms and factories down by 0.2 percent, the second consecutive decline, the Labor Department said.

Retail sales, held back by a 0.7 percent drop in auto purchases, managed a barely perceptible 0.1 percent increase, …