Wholesale Inventories Grew 0.6% as Businesses Restocked
U.S. wholesale businesses restocked faster in April, responding to a strong gain in sales.
The Commerce Department says stockpiles grew 0.6 percent at the wholesale level in April, double the March gain. Sales by wholesale businesses jumped 1.1 percent in April, nearly three times the March sales gain.
When businesses step up restocking, they order more goods. That generally leads to increased factory production and higher economic growth.
Stockpiles at the wholesale level stood at $483.5 billion in April. That's 25.6 percent above the post-recession low of $384.9 billion in September 2009.