MNI DATA IMPACT: US February Wholesale Inventories Rise 0.2%>

--Feb Wholesale Sales Up 0.3%; Inv/Sales Ratio Unch At 1.35

--Business Sales Tracking +0.2% 

By Shikha Dave and Harrison Clarke

     WASHINGTON (MNI) - February wholesale inventories increased by 

0.2%, vs. +0.3% expected by both a Bloomberg consensus and an MNI survey 

of analysts, while wholesale sales were up 0.3% in the month, data 

released by the U.S. Commerce Department Wednesday showed. 

     Retail trade sales, those excluding food services sales, were 

already reported down 0.2% in February's retail sales release, while 

factory shipments rose 0.4%, so an MNI calculation sees business sales 

tracking for a 0.2% gain. 

     Factory inventories were already reported up 0.3%. Since advance 

retail inventories have not been released, MNI cannot calculate a 

preliminary estimate for business inventories. 

Here are the key findings from the release:

     -When excluding the 0.1% gain in auto inventories, inventories 

would have still been up 0.2%, according to an MNI calculation. 

Excluding a 0.3% increase in auto sales, sales would have been up 0.2%, 

also according to an MNI calculation. 

     -The value of durable inventories rose by 0.1% in the month, led by 

increases in furniture, machinery, and miscellaneous durables. 

Nondurables inventories rose 0.3% in February on gains in drugs and 

apparel, but were partially offset by declines in farm products, 

chemicals, and petroleum. 

     -Durables goods sales were up 0.1% in the month, on gains in autos, 

electrical, and hardware. This was partially offset by decreases in 

lumber, computer equipment, and machinery. Nondurable goods sales rose 

by 0.4% in February on incenses in apparel, farm products, and 

chemicals. 

     -Given the increase in sales and inventories, the inventory to 

sales ratio was unchanged in the month. Wholesale inventories and sales 

both rose year over year, but sales rose slower than inventories. 

Inventories were up 6.9% year/year, and sales were up 2.1% from February 

2018. The ratio is up to 1.35 from the 1.29 ratio seen one year ago. 

     ** MNI Washington Bureau: 202-371-2121 ** 

[TOPICS: MAUDS$,M$U$$$]