Wholesale inventories (F)-0.1% versus 0.0% est/last
US wholesale trade sales surged 2.3% in March (highest since May 2018). The estimate was for a 0.6% gain. Last month the sales rose by 0.3%
The inventories (final) was revised to -0.1% from the preliminary reading of 0.0%. Last month inventories rose by a greater than expected 0.4% vs 0.0% preliminary.
The Sales to inventory ratio falls to 1.32 months from 1.35 month last month.
Inventories grew in the 1Q which raised GDP. This report (for March) suggests that sales started to make a dent in that inventory overhang.
Despite the fall in stocks and concern about the US/China, employment does remain strong which should keep spending. This report seems to support that on the surface.
