US: Business inventories to confirm solid contribution to Q3 GDP growth - Nomura

US wholesale inventories rose solidly by 1.0% m-o-m in August, reflecting a 0.2pp upward revision to the Census Bureau’s initial estimate, explains the research team at Nomura.

Key Quotes

“While manufacturing inventories declined in August, gains in retail inventories likely offset this decline. Altogether, assuming no significant revisions to retail inventories, the final business inventories report for August will likely confirm solid contribution to GDP growth in Q3 from change in inventories.”