NEW YORK: The US auto industry powered ahead in August, shrugging off gyrating stock markets to stay on pace for the best annual sales since 2001.
Consumers surprised industry analysts who had expected a decline in August sales. Early returns yesterday indicated sales of about 17.5 million vehicles on an annualized basis, easily besting the forecast of 17.3 million vehicles, according to a Thomson Reuters poll of 47 economists.
Roller-coaster stock markets appeared to have no major impact on auto purchases, which are an early indicator of consumer spending each month, particularly for large-ticket items.
“All of the economic fundamentals that we look at, including job growth, disposable income and fuel prices, are in good shape and that should keep sales strong,” said Kurt McNeil, head of US sales for General Motors Co.
GM, the No. 1 automaker in the US market, reported that sales shed 0.7 percent, better than analysts’ estimates for a decline of as much as 5 percent.
Ford Motor Co, the No. 2 US automaker by vehicle sales, showed a gain of 5 percent, easily outdistancing hopes of below a 1 percent rise from a year ago.
Fiat Chrysler Automobiles NV posted a stronger-than-expected rise of 2 percent, boosted by Jeep SUV and Ram pickup truck sales. Analysts had forecast a decline in FCA sales.
The Italian-American automaker kept alive its streak of consecutive months of topping year-ago sales figures — which now stands at 65.
