The Commerce Department announced on Wednesday the U.S. wholesale inventories increased 0.4 percent m-o-m in May, after advancing a revised 0.8 percent m-o-m in April (originally a gain of 0.9 percent m-o-m).

Economists had forecast wholesale inventories growing 0.4 percent m-o-m in May.

On a y-o-y basis, wholesale inventories surged 7.7 percent.

According to the report, wholesale auto stocks rose 1.8 percent m-o-m in May, following a 3.9 percent m-o-m climb in the previous month. Gains were also recorded in professional equipment, furniture and hardware inventories. Meanwhile, electrical goods inventories dropped by the most since January 2016 and metal inventories showed their biggest decline since October 2016.

Wholesale sales edged up 0.1 percent m-o-m in May, following an unrevised 0.4 percent m-o-m decrease in April.