“Overall on dealer inventory, as I said at the beginning of the year, as you know, dealer inventory is very complex, David... We now expect a small reduction of machine dealer inventory, almost all of that will be in Resource Industries, which, as you know, is more a function of commissioning rather than anything else.”

In context

“s? Thank you. Andrew Bonfield: Yes. So let me start and help unpack that a little bit. So on the retail sales, two factors, obviously, retail sales in the quarter, one which was in North America. And most of that was actually rental fleet that does go into retail sales, but it actually is rental fleet loading by dealers. So that was most of that. And then Europe itself as well, which was still softer than we expect. Overall, our expectation now part of the reason why we've reduced our estimates for retail sales for the year is mostly due to that rental fleet loading. Our expectations are that although as Jim said, dealer rental revenue is still growing nicely, they will not load their fleet as much as we had originally expected at the beginning of the year, and that's relatively moderate. Overall on dealer inventory, as I said at the beginning of the year, as you know, dealer inventory is very complex, David. It's multiple segments, multiple business units, multiple dealers. And dealers are independent businesses. We expected the dealer inventory to be about flat for the year. We now expect a small reduction of machine dealer inventory, almost all of that will be in Resource Industries, which, as you know, is more a function of commissioning rather than anything else. And, overall, we expect to end the year with dealer inventory on the CI side about flattish and comfortably within the typical range that we talk about in three to four months. Operator: We'll go next to Michael Feniger at Bank of America. Michael Feniger: Thank you for taking my question. I'm curious when you look at your different segments, if we're entering a lower interest rate environment, a Fed easing cycle, where do you see -- what segments kind of reacting to a lower rate environment first? And just basically following up on that with the construction side with your response to David. Just is the assumption with yo”