U.S. Business Inventories Rise 0.5%

Stockpiles of unsold goods at U.S. businesses rose more than expected in October, as retailers continued to stock up for the holiday shopping season, the latest government figures showed. Business inventories increased by 0.5%--the largest gain since January--to a seasonally adjusted $1.011 trillion in October, the Commerce Department said. A buildup in retail, automotive and home furnishing stocks drove the increase. The rise in inventories suggests consumer demand fell short as businesses stocked up in anticipation of a surge in sales for the holiday shopping season. In September, business inventories stood at 0.1%.