U.S. wholesale inventories increased in June, boosted by a second strong month for growth of inventories of cars and trucks.
The Commerce Department said on Thursday that wholesale inventories climbed 0.2 percent, in line with economists’ forecasts and the preliminary estimate from the government.
Inventories rose 0.5 percent in May. Compared with a year ago, wholesale inventories are up 0.1 percent.
The economy grew at a 2.8 percent annual pace in the second quarter. Economic data received about the now underway third quarter indicate an acceleration, although many economists are forecasting a slowdown.
Wholesale auto inventories rose 0.8 percent in June following May’s 1.1 percent increase. Excluding autos, wholesale inventories rose 0.1 percent.
The change in wholesale inventories excluding autos plays a significant role in the calculation of GDP. It is also a sign of business confidence because businesses tend to build inventories when they feel more confident about future sales.
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