Wholesale Inventories-Sales Ratio Holds Near Record Highs As Automakers Suffer
While wholesale sales rose modestly MoM, the continued stagnation in wholesale inventories (lowest since 2010) bodes poorly for Q2 GDP. At 1.36x, the wholesale inventories-to-sales remains near record highs, but Automotive inventories to sales soared to cycle highs at 1.83x (as Auto sales dropped 0.7% MoM but inventories rose 1.0% MoM).
The gap remains wide...
Leaving inventories-to-sales near record highs...
As Automotive inventories continue to build as sales collapse...