Monday, June 18, 2012

Car can disappoint sales as demand slows

CNBCS Phil LeBeau reported sales of General Motors, up 10.9% compared to 11.4% estimate, while Toyota sales 87.3% vs. 89.5% estimates reported.

Updated at 12: 55 pm (ET):DETROIT - new car sales came in weaker than expected in may, driven by disappointing results from General Motors, Toyota and Chrysler, the demand from the first four months showed slowed.

The sales results, in combination with Friday anemic jobs report, suggested that the industry could be hurdles in his recovery from a recession before four years face, pulled the GM and Chrysler bankruptcy.

"Of course the economy probably a touch is slowing down", said Gary Bradshaw, Portfolio Manager with Hodges capital management, the Ford owns shares. "I still think that auto sales continue from the last year to improve, but it is a struggle." "There are many headwinds to us."

Nissan sales revenues even weaker than expected in may, when Ford numbers behind what had predicted Barclays and Edmunds. Nissan and Ford sales rose by 21 percent and 13 percent, respectively.

GM sales rose by 11 percent, while Chrysler and Toyota rose by 30 per cent and 87 per cent, respectively.

Economists of Thomson Reuters respondents expect an annual turnover for the month of 14.5 million vehicles, but both GM and Ford suggested that the rate far below the would come.

GM expects the annual sales to approximately 14 million to finish, while Ford forecast a final number, including medium and heavy trucks, in the mid 14 million. Medium and heavy trucks annually account for usually about 300,000 sales.

Some analysts and industry officials have said the lower price part of the weather warmer than expected this year was that drew buyers into dealer of showrooms, sales pull off the spring buying season. In addition, falling prices have at the pump reduces pressure on consumers to gas guzzlers get rid and buy more fuel-efficient car.

Sales slower in May would be a step down from a 14.4 million sales pace of the previous two months and 15.1 million in February.

"Since our last monthly sales over the course of the last 30 days or so call, economic indicators came only a little softer than in the first quarter" Senior Economist Jenny Lin in a Conference said Ford.

Auto sales of one of the bright spots in the economy for several months have been and the monthly sales offer an early snapshot of consumer demand results.

Shaky recovery
Consumer confidence and mixed economic data which shows that the recovery was how shaky shot in the last three years have sales this year despite cooling. On Friday the Ministry of labour reported increase in jobs in may, which was the weakest in a year, and employers far fewer jobs added in the previous two months than previously reported.

"While a restore point some signals upwards, some reasonable, some see below", said Jonathan Browning, head of Volkswagen AG operations. "While there are some short-term fluctuations of these indicators are, stay these underlying trends in a positive direction."

A factor in fueling the growth car became American replacing their aging increasing need for cars and trucks, which now a record 10.8 years on average.

"The economy continues to slowly grow and absolutely need to catch up will be a strong force, and maybe some volatility to overcome", said GM U.S. sales Chief, Don Johnson, in a Conference. "But the economy grow further with a positive rate for catch up must be released."

Higher fuel prices in the first quarter prompted to disable some consumers up to older, less fuel-efficient models in fuel economy. 63 Percent of the traders said after Swiss Bank UBS higher gasoline prices increased demand in the first quarter.

With gas prices fall again can the pace of new cars for sale in the second and third quarters, but the underlying consumer appetite for new cars and trucks due to demand remains strong, said UBS analyst Colin Langan moderating.

GM may sales rose from 221.192 in the same month last year to 245.256 vehicles.

Ford's sales rose to 216.267 vehicles from 192.102 in the same month last year, as the number 2 of the U.S. automakers consumer incentives by more than 9 percent compared to the previous month increased according to Edmunds. Incentives in the industry rose by nearly 4 percent from April to May to $2.135 per vehicle.

Ford also said that it plans to build 690,000 vehicles in North America, in the third quarter to 5 per cent on the same period last year.

Toyota sales 87 percent to 202.973 vehicles. At Chrysler, controlled by Italy's Fiat, sales to 150.041 vehicles from 115.363 in the same month last year.

GM shares were by 2.7 percent to $21.59 and Ford shares up 3.8 percent to $10.16 on Friday afternoon on the New York Stock Exchange. Wall Street stocks were largely lower on the Sauer report jobs.

Reuters contributed to this report.

0 коммент.:

Post a Comment