US Wholesale Inventories Rise 1.3% in July, Matching Expectations

US wholesale inventories reached $958.9 billion in July, posting a 1.3% month-over-month increase that matched expectations and remained unrevised from the advance estimate. Year-over-year, inventories grew by 5.7%. The relatively strong rise suggests wholesalers may be rebuilding stocks in anticipation of future demand.

Meanwhile, wholesale sales rebounded in July to $801.3 billion, up 0.8% month-over-month following a revised 2.9% decline in June (originally reported as a 3.0% fall). On an annual basis, sales expanded by 13.0%. However, the data are not adjusted for price changes, meaning part of the annual gain may reflect higher prices rather than a larger volume of goods sold.

Because inventories grew faster than sales during the month, the inventories-to-sales ratio rose slightly to 1.20 from 1.19 in June 2026. This metric estimates how many months it would take wholesalers to sell their existing stock at the current sales pace. Despite the monthly increase, the ratio remained below the 1.28 recorded in July 2025.

Overall, the July report presented a mixed picture but generally indicated improving activity. While wholesale releases are normally not major market movers, inventory figures feed into GDP calculations, while sales offer another view of underlying business demand.