U.S. business inventories barely rose in June and the inventory-to-sales ratio fell to more than a 3-1/2-year low, suggesting businesses would need to ramp up the accumulation of stock, which would boost economic growth in the third quarter.
The Commerce Department said on Wednesday that business inventories edged up 0.1 percent after a downwardly revised 0.3 percent increase in May.
June’s gain in inventories, which are a key component of gross domestic product, was in line with economists’ expectations. Inventories were previously reported to have increased 0.4 percent in May.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.