2017 Economic Calendar
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Business Inventories  
Released On 3/15/2017 10:00:00 AM For Jan, 2017
PriorConsensusConsensus RangeActual
Inventories - M/M change0.4 %0.3 %0.1 % to 0.3 %0.3 %

Inventory growth looks moderate and stable, at an expected 0.3 percent in January and roughly in line with underlying sales growth which came in at an even more moderate 0.2 percent. The inventory-to-sales ratio is unchanged at 1.35.

Heavy auto inventories at dealerships are key right now in the inventory picture, and weakness in auto sales (posted this morning in the retail sales report) doesn't point to much of a draw for auto inventories in February. Dealership inventories in January surged 2.4 percent with total retailer inventories at plus 0.8 percent. Excluding autos, however, retail inventories were unchanged. Manufacturer inventories rose a steady 0.2 percent in January with wholesalers reporting a 0.2 percent draw.

Consensus Outlook
Inventories have been on the rise and raising the risk of unwanted overhang. Business inventories are expected to build 0.3 percent in January vs December's 0.4 percent increase. Rising inventories in a slow growth economy pose risks to future production and future employment though they are an immediate plus in the GDP calculation.

Business inventories are the dollar amount of inventories held by manufacturers, wholesalers, and retailers. The level of inventories in relation to sales is an important indicator of the near-term direction of production activity.  Why Investors Care
Inventories tend to rise when economic conditions are strong since sales are rising at the same time, the inventory-to- sales ratio may remain stable, or rise at a very slow pace. Inventories tend to when economic conditions are weak since sales are falling at the same time, the inventory-to-sales ratio may remain relatively stable. The I- S ratio then begins to rise as sales fall more quickly than inventory growth.
Data Source: Haver Analytics

2017 Release Schedule
Released On: 1/132/153/154/145/126/147/148/159/1510/1311/1512/14
Release For: NovDecJanFebMarAprMayJunJulAugSepOct

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