WASHINGTON, Dec 11 (Reuters) – U.S. wholesale inventories rebounded in September amid increases in the stocks of long-lasting manufactured goods, which likely provided a lift to gross domestic product in the third quarter.
Stocks at wholesalers increased 0.5% after falling 0.1% in August, the Commerce Department’s Census Bureau said on Thursday. Economists polled by Reuters had forecast inventories edging up 0.1% in September.
The report was delayed by the recently ended 43-day shutdown of the government. Inventories, a key part of gross domestic product, increased 1.8% on a year-over-year basis in September.
Wholesale stocks of durable goods rose 0.3%, driven by computer equipment, metals and electrical products. But motor vehicle inventories were unchanged.
Business inventories decreased at a $18.3 billion annualized rate in the second quarter, subtracting 3.44 percentage points from GDP. That was, however, more than offset by a record 4.83 percentage point contribution from a smaller trade deficit.
The Atlanta Federal Reserve is forecasting gross domestic product increased at a 3.5% annualized rate in the third quarter. The government will release its first estimate of third-quarter GDP on December 23 after it was delayed by the shutdown.
The economy grew at a 3.8% pace in the April-June quarter. While the rebound in inventories likely added to GDP growth last quarter, it also reflected softening demand.
Sales at wholesalers slipped 0.2% in September after declining by the same margin in August. At September’s sales pace it would take 1.29 months to clear shelves, up from 1.28 months in August.
(Reporting by Lucia Mutikani; Editing by Andrea Ricci)
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