Global| Jul 16 2012U.S. Business Inventory Growth Is Stable
by:Tom Moeller
|in:Economy in Brief
Summary
The U.S. Commerce Department reported that during May, business inventories rose 0.3% for the third consecutive month. The modest gain lowered the y/y rise to 5.2%, its least since May of 2010. Business sales slipped 0.1% for the [...]
The U.S. Commerce Department reported that during May, business inventories rose 0.3% for the third consecutive month. The modest gain lowered the y/y rise to 5.2%, its least since May of 2010. Business sales slipped 0.1% for the second consecutive month and the y/y increase fell to 5.1%, its least since December 2009. As a result, the inventory/sales ratio ticked up to 1.27, its highest in a year.
Retail sector inventories rose 1.0% due to a strong 1.9% rise (14.6% y/y) in motor vehicles. Inventories of home furnishings & appliances rose 0.8% (0.6% y/y). General merchandise inventories increased 0.9% (3.4% y/y) and apparel inventories gained 0.6% (4.8% y/y). Wholesale inventories increased 0.3% (6.4% y/y) while petroleum inventories fell 3.6% (-4.3% y/y). Less petroleum wholesale inventories rose 0.5% (7.1% y/y). Factory inventories fell 0.2% (+3.5% y/y).
The manufacturing and trade data are in Haver's USECON database.
| Business Inventories(%) | May | Apr | Mar | May Y/Y | 2011 | 2010 | 2009 |
|---|---|---|---|---|---|---|---|
| Total | 0.3 | 0.3 | 0.3 | 5.2 | 7.7 | 8.3 | -9.4 |
| Retail | 1.0 | 0.8 | 0.4 | 6.3 | 3.6 | 6.1 | -10.1 |
| Retail excl. Motor Vehicles | 0.6 | 0.2 | -0.0 | 3.1 | 3.7 | 3.9 | -4.8 |
| Merchant Wholesalers | 0.3 | 0.5 | 0.3 | 6.4 | 9.9 | 10.1 | -11.8 |
| Manufacturing | -0.2 | -0.2 | 0.1 | 3.5 | 9.4 | 8.8 | -6.8 |
| Business Sales (%) | |||||||
| Total | -0.1 | -0.1 | 0.2 | 5.1 | 11.3 | 9.7 | -14.8 |
| Retail | -0.2 | -0.6 | 0.3 | 3.5 | 8.2 | 5.8 | -7.9 |
| Retail excl. Motor Vehicles | -0.4 | -0.7 | -0.4 | 3.6 | 7.6 | 4.7 | -6.4 |
| Merchant Wholesalers | -0.8 | 0.6 | 0.4 | 5.7 | 13.5 | 11.6 | -16.2 |
| Manufacturing | 0.5 | -0.2 | 0.1 | 4.9 | 11.8 | 11.2 | -18.8 |
| I/S Ratio | |||||||
| Total | 1.27 | 1.26 | 1.26 | 1.27 | 1.26 | 1.27 | 1.39 |
| Retail | 1.36 | 1.35 | 1.33 | 1.34 | 1.34 | 1.38 | 1.46 |
| Retail Excl. Motor Vehicles | 1.20 | 1.19 | 1.18 | 1.21 | 1.21 | 1.24 | 1.30 |
| Merchant Wholesalers | 1.18 | 1.17 | 1.17 | 1.17 | 1.16 | 1.18 | 1.31 |
| Manufacturing | 1.27 | 1.28 | 1.28 | 1.29 | 1.27 | 1.28 | 1.39 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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