U.S. wholesale inventories rose in June, driven by a second consecutive month of strong growth in auto and truck inventories.
The Commerce Department said Thursday that wholesale inventories rose 0.2%, in line with economists’ expectations and the government’s preliminary estimate.
Inventories increased 0.5% in May. Year-over-year wholesale inventories increased 0.1%.
The economy grew at an annualized rate of 2.8 percent in the second quarter. While ongoing economic data for the third quarter shows growth accelerating, many economists are predicting a slowdown in growth.
Wholesale motor vehicle inventories increased 0.8% in June, following a 1.1% increase in May. Wholesale inventories excluding autos increased 0.1%.
Changes in wholesale inventories excluding motor vehicles play an important role in calculating GDP, and are also an indication of business confidence, as businesses tend to build up inventories when they feel more confident about future sales.
