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Last Update: 14-Feb-12 11:29 ET
Business Inventories Show Modest Improvement
Total business inventories increased 0.4% in December after increasing 0.3% in November. The Briefing.com consensus expected inventories to increase 0.5%.
Inventory growth for both manufacturers (0.1%) and merchant wholesalers (1.0%) was known prior to the release. The only piece of new information was that retailer inventories were up 0.2% in December after increasing 0.4% in November.
The gain in retailer inventories was in-line with the BEA expectations used in the advanced Q4 2011 GDP report. It should have little effect on future GDP revisions.
Total sales increased 0.7% in December, up from 0.4% in November.
The inventory/sales ratio fell from 1.27 in November to 1.26 in December.
Inventory growth for both manufacturers (0.1%) and merchant wholesalers (1.0%) was known prior to the release. The only piece of new information was that retailer inventories were up 0.2% in December after increasing 0.4% in November.
The gain in retailer inventories was in-line with the BEA expectations used in the advanced Q4 2011 GDP report. It should have little effect on future GDP revisions.
Total sales increased 0.7% in December, up from 0.4% in November.
The inventory/sales ratio fell from 1.27 in November to 1.26 in December.
