US business inventories were unchanged on a monthly basis in May, in line with expectations, and are up 1.7% YoY.

• Manufacturers’ inventories increased 0.1% MoM as sales also increased 0.1% MoM, and wholesale inventories dropped -0.3% MoM, matching a sales decline of -0.3% MoM.
• Retail inventories were up 0.3% MoM with sales down -1.0% MoM, but excluding autos, retail inventories were up 0.2% MoM and 4.8% YoY.
• The retail (ex autos) inventory-to-sales ratio now sits at 1.15x, down from 1.13x a year ago.