U.S. companies restocked more slowly in March, continuing a trend that has limited economic growth this year, the government reported Tuesday. The Commerce Department said business inventories rose 0.3 percent in March, the smallest gain since November. Business sales rose 0.6 percent in March. The pace of restocking has slowed this year from the end of 2011, contributing less to economic growth in the January-March quarter. Businesses order more goods when they increase their inventories, therefore supporting higher factory production and stronger economic growth. Inventories are expected to continue growing this year, but the gains are not expected to be near the level seen at the end of last year. Businesses reduced restocking last summer when some feared the economy was near another recession. When it became clear the economy was stronger, many firms raced to rebuild their stockpiles and keep pace with consumer demand.
