- Wholesale Inventories for June rose .5% versus estimates of a .4% gain and a .5% increase in May.
BOTTOM LINE: Sales at US wholesalers rose faster than inventories in June, making it likely companies will continue to rebuild stocks, Bloomberg reported. Sales rose .6% versus a 1.3% gain in May. Distributors had 1.1 months worth of goods on hand at the current sales pace, matching the all-time low. Computer and hardware distributors showed the biggest gains in sales versus inventories. Sales of computer equipment jumped 5.4% in June. Sales of petroleum products fell 1.0%. I still believe inventory rebuilding will continue to help boost overall US economic growth over the intermediate-term as companies gain confidence in the sustainability of the current expansion.
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