US business inventories up 0.9 per cent

City A.M. Reporter
US business inventories rose in January to their highest level in two years and sales increased at their fastest pace in nine months, a government report has shown.

The data suggests that restocking will boost growth in the first quarter of 2011.

The US Commerce Department said inventories rose 0.9 per cent to $1.45 trillion (£900bn), the highest since January 2009, after increasingly by an upwardly revised 1.1 per cent rise in December.

Economists polled by Reuters had forecast inventories rising 0.7 per cent after a previously reported 0.8 per cent increase in December.