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A report released by the Commerce Department on Friday showed a modest increase in business inventories in the U.S. in the month of July.

The Commerce Department said business inventories rose by 0.2 percent in July after climbing by 0.5 percent in June. The uptick in inventories matched economist estimates.

Wholesale inventories showed a notable increase, climbing by 0.6 percent for the second consecutive month.

The report said manufacturing inventories also crept up by 0.2 percent in July, while retail inventories edged down by 0.1 percent.

The Commerce Department said business sales also rose by 0.2 percent in July, matching the increase seen in the previous month.

While manufacturing and retail sales both increased by 0.3 percent during the month, wholesale sales dipped by 0.1 percent.

With inventories and sales both rising, the total business inventories/sales ratio came in unchanged compared to the previous month at 1.38.