AI Data Insight
The contribution of US private inventories to quarterly GDP growth expanded to 0.4% in Q1 2026, climbing further from the previous 0.21% and providing a positive boost for two consecutive quarters. Retail and wholesale trade were the main drivers. Institutional analysis indicates that this wave of restocking is primarily driven by defensive hoarding amid tariff concerns. Going forward, attention must be paid to whether end demand can successfully digest this inventory.