Inventory levels remained at US$1.2 trillion in May, while analysts had expected a decline in business inventories of 0.1 per cent. The manufacturing level of unsold goods fell 0.3 per cent, but retail level stocks of unsold goods rose by 0.4 per cent.
Sales grew by 1.1 per cent, the first increase in sales since the 0.3 per cent rise in December.
The stock-to-sales ratio, a measure of how long it takes businesses to sell existing stock, fell to 1.42 months from 1.44 months posted in April.
The U.S. government also revised its numbers for April, reporting that business inventories fell 0.2 per cent, compared with its previous unchanged reading.
