Wholesale, Retail Inventories Rise

In an early boost to third-quarter GDP, retail inventories rose a sharp 0.8 percent in July that reflected a 1.6 percent jump at auto dealers. Excluding autos, retail inventories rose 0.3 percent. Given the strength of underlying consumer demand, gains for retail inventories are welcome and follow overall contraction of 0.3 percent in June.

...meanwhile...

Wholesale inventories rose 0.2 percent in July versus a revised no change in June. At a year-on-year rise of 7.1 percent, inventories at the wholesale level have been heavier than for retailers or manufacturers, a factor that may limit the sector's third-quarter build.