Wholesale inventories fell -0.5% MoM, in line with expectations, and -0.1% YoY in December as sales saw two strong months of growth to end 2024.

• Durable inventories fell -0.6% MoM for the second straight month as auto inventories fell.
• Auto inventories saw another strong draw of -0.6% MoM. However, a -5.1% MoM decline in auto sales meant that the auto inventories/sales ratio increased to 1.81x in December from 1.73x in November.
• Nondurable inventories fell -0.2% MoM after a strong 0.8% MoM build in the previous month. Nondurable sales were up 1.9% MoM in December which pushed the inventories/sales ratio down -0.02 pts to 0.95x.
• The broad wholesale inventories/sales ratio is down from 1.35x a year ago to 1.31x.