Total business inventories for June rose 0.8% MoM - the biggest rise since Jan 2013. Great news for Q2 GDP as we stacked 'em high, but as sales lagged dramatically, the inventory-to-sales ratio hit a new post-crisis high at 1.37, flashing a very recessionary level going forward (dampening hype hope for Q3 GDP). Once again it was autos that saw the biggest relative jump in inventories (+1.4% MoM) relative to sales (-1.5%).
Inventories exploded in June...
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With the sales ration flashing burght red recessioanry signals...
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Charts: Bloomberg
