US wholesale stockpiles up 0.4 percent in October
A cutback in inventory building could be a sign that businesses are worried about future sales.
WASHINGTON (AP) - Stockpiles held by wholesale businesses rose in October, while sales posted a smaller gain.
The Commerce Department says stockpiles at the wholesale level increased 0.4 percent, matching September s figure. Sales edged up 0.2 percent during the month following no change in September and a 0.8 percent drop in August.
Economists are watching closely to see if businesses begin holding back on expanding inventories in the face of weaker sales. That would be a drag on economic growth since the restocking of store shelves spurs orders to manufacturing companies and gains in factory production.
A cutback in inventory building could be a sign that businesses are worried about future sales. Swings in inventories can have a big impact on economic growth
