by Calculated Risk on 2/01/2021 12:46:00 PM

One of the key questions for 2021 is: Will inventory increase as the pandemic subsides, or will inventory decrease further in 2021?

Tracking inventory will be very important this year, and I'll be using some weekly sources.

Click on graph for larger image in graph gallery.

This inventory graph is courtesy of Altos Research.

As of January 29th, inventory was at 367 thousand (7 day average), compared to 732 thousand the same week a year ago.  That is a decline of almost 50%.

A week ago, inventory was at 380 thousand, and was down 48% YoY.  Seasonally inventory should bottom by early March.

Mike Simonsen discusses this data regularly on Youtube.