There is an interesting interaction here: in general growing inventories are seen as a sigh that the economy is slowing while low inventories show robust demand. With a potential change in supply, it's probably ambiguous how to interpret changing inventory levels.
My own opinion is people buying less cheap, disposable junk from China is a good thing. Brainless consumerism might appear good for the economy in the short run, but it is not sustainable or really even a high quality of life.
There is an interesting interaction here: in general growing inventories are seen as a sigh that the economy is slowing while low inventories show robust demand. With a potential change in supply, it's probably ambiguous how to interpret changing inventory levels.
My own opinion is people buying less cheap, disposable junk from China is a good thing. Brainless consumerism might appear good for the economy in the short run, but it is not sustainable or really even a high quality of life.
The fact that the warehouse were I work isn't full with summer coming, makes me think that the trade war is causing problems. We're one of the import distribution centers for a very large retailer and 90% of our products seem to come from China. People who have worked there for a few years are saying this is the least full they've seen the warehouse at this time of the year. It may not be all because of tariffs but I think they are playing a pretty decent part.