Inventories at US businesses held steady in May while sales rose for the first time since December, the US Commerce Department said today.
Inventory levels remained unchanged in May at $1,197.1 billion as sales grew 1.1 per cent, the biggest rise since a 1.9 per cent rise in March of 2000 and the first rise since sales rose by 0.3 per cent in December.
In April, inventories fell 0.2 per cent after originally being reported as unchanged. Sales in April slid 0.5 per cent.
Stocks of unsold goods at manufacturing levels fell 0.3 per cent but at retailers, stocks were up 0.4 per cent.
The stock-to-sales ratio, which measures how long it would take firms to sell down existing inventories, stood at 1.42 months' worth, down from 1.44 in April.
Although sales posted gains, the fact that inventories remained unchanged painted a mixed picture.
Manufacturing sales rose 2.6 per cent, after posting a decline of 2.4 per cent in April. The May rise was the highest since 1992, the Commerce Department said.
Inventories at auto and auto parts dealers rose 0.5 per cent after a 0.1 decline in April.