Inventories Rise at a Slower Pace

- Wholesale Inventories for March rose .4% versus estimates of a .7% increase and a .6% gain in February.

Bottom Line: The increase in US wholesale inventories was paced by metals, machinery and energy. The ratio of inventories to purchases held at 1.19 months, matching the highest since November 2003. The build in energy inventories during the first quarter may result in less production in coming months as companies sell from existing stockpiles, economists said. Wholesalers account for about 25% of all business inventories.