Wholesale Sales Disappoint Sending Inventories-Ratio Back Into Recession Territory

November saw inventories rise more than expected (+1.0% MoM vs +0.9% exp) and sales disappoint (+0.4% vs +0.5% exp) and were notably revised lower. This sent the inventories-to-sales ratio back up again - stubbornly stuck in recessionary territory.

Both Inventories and sales grew year-over-year...

 

But the gap between inventories and sales grew in absolute terms for the first time since July...

 

Sending the inventories-to-sales ratio back up again...

 

Automotive inventories-to-sales jumped higher once again - back near cycle highs.