It’s tough to get a sense of the economy based on wholesale sales because inventory restocking cycles are bumping and unpredictable.
- Prior sales +1.3%
- Inventories +0.5% vs +0.6% expected
- Prior inventories +1.1% (revised to 1.0%)
- Sales-to-inventories ratio 1.18 months vs 1.18 prior
These numbers are important for calculating GDP but the slight misses here don’t change the story.
EUR/USD is at the lows of the day at 1.3599 after the numbers which is more a reflection of the options cut than the numbers as $1.26B in options at 1.36 rolled off and a whackload of other expiries as well.
