MARKETWATCH

Blue chip stocks rose while the broader stock market dipped slightly amid more news of a brightening economy. The Commerce Department said business sales jumped 3%, and inventories rose 1% in August. That was twice as strong as economists had been expecting. The sales increase was particularly impressive, since it was the biggest monthly gain since February of 1987. Moreover, the inventory-to-sales ratio, which combines the two figures, dropped to an all-time low, meaning that factories will have to pick up production even more to keep pace with booming demand. In recent weeks, good news like that has sometimes sent the market reeling, as investors register their fear of renewed inflation. But with two reports last week suggesting that inflation remains under control, the stocks that benefited today were those that normally do well in an expanding economy -- such as Bethlehem Steel and International Paper, both up a point. The Dow Jones Industrial Average gained 13.46 points to 3923.9