Wholesale inventories inched up by just 0.1 percent in June yet still beat the Econoday consensus expecting a flat reading, while also surprisingly outpacing sales, which were down 0.1 percent from May. The stock-to-sales ratio nevertheless remained unchanged on the month at 1.25 but down year-on-year from 1.31. Sales gains continue to outpace inventory increases by a large margin year-on-year, posting a 10.2 percent gain compared to a 5.1 percent rise for inventories.
Holding back inventory increases in June were autos, where stocks fell 1.2 percent, putting the year-on-year gain at 0.2 percent, while auto sales rose 0.4 percent on the month, taking the year-on-year sales gain to 10.2 percent.
Non-durables were also a drag, declining 1.0 percent on the month while sales dropped 0.3 percent. Year-on-year inventories of non-durables were up 6.2 percent while sales were up 10.6 percent.
Ex-auto, inventories were up 0.2 percent in June thanks to a 0.8 percent rise in durables, which meanwhile saw a 0.2 percent increase in sales. Year-on-year, inventories of durables were up 6.2 percent while sales rose 9.9 percent.