Businesses cut inventories 1.1 percent in April

By AP

WASHINGTON – WASHINGTON (AP) - Businesses reduced their inventories more than expected in April as they worked to get stockpiles more in line with falling sales.

The Commerce Department says businesses cut inventories 1.1 percent in April, a bit more than the 1 percent drop economists expected. The government also revised the March figure to a drop of 1.3 percent, compared with the 1 percent decline originally
reported.

Inventories have fallen for eight straight months, the longest stretch since there were 15 straight declines in 2001-2002, a period that covered the last recession.