Chillin' out till it needs to be funded
Auto sales are likely up 27% in February to a SAAR of 14 mln ( less than 900k in February) even as oOil is headed up to $5 even $6 in the next three
months. Chrysler and Volkswagen are expected to grow the market up 7% from last year acccording to the Kelley’s preview which attributed the fill up to Honda and Toyota inventory shortfalls , that will run out after April. Supplies at Dealer’s lots have gone up from 52 days last month to 66 days even as Spring selling season begins after Presidents’ Day (last Monday) for March 1
GM is also hoping to dispose of Opel in a new JV this year with Citroen across the pond but the JV could make things bleaker for both companies as Oil soars and Economic contraction takes root on already weak sales across the pond. American manufacturers keep larger supply in lots and will spend at least $1000 more in incentives.
Hyundai and Kia get closer to 100k monthly sales despite a lower 30 day inventory while VW reaches the 40,000 sales mark a big jump from February last year. Ford and GM will sell 165k units and 195 k units respectively while Chrysler catches up to 115k units this month and incl Toyota and Honda that makes 5 competitors that are growing the Auto sales market with or without Superbowl ads.
According to early reports, Auto sales in Japan have risen 25% this month after a 14% pop in Y/Y in January