Business inventories flat in January

Business inventories were basically flat in January even though sales rose for an eighth consecutive month, the Associated Press reports.

The Commerce Department said Friday that inventories were unchanged, a weaker reading than the 0.2 percent gain that analysts had expected. Total business sales rose by 0.6 percent, a solid performance that followed an even stronger 1 percent gain in December.

Economists are hoping that businesses will soon start restocking depleted store shelves on a sustained basis, a move that would give a boost to the economic recovery.

The flat reading on inventories followed a 0.3 percent drop in December, which was larger than the 0.2 percent decline previously reported.