Business Inventories Up, Sales Dip in June

Business inventories rose 0.4% in June as business sales fell 0.3%, the government said Monday. Analysts said the report was in line with the economic “soft landing” sought by the Federal Reserve Board--slow but continued growth with low inflation.

Inventories often rise during slow economic growth as production exceeds demand, a process that sometimes leads to a loss of jobs as businesses cut their output.