J.D. Power & LMC say U.S. August auto sales to rise 12% image

According to market analysts J.D. Power & Associates and LMC Automotive the U.S. auto sales will show a 12% increase over the same month of 2012.

Total new vehicle sales should be nearly 1.5 million in August, which translates to a seasonally adjusted annualized rate of 16 million, J.D. Power and LMC said in a joint statement.

“This strong selling environment is occurring when consumers are spending more on new vehicles than any month on record, which is a further indication of the underlying strength of the sector,” said John Humphrey of the automotive practice at J.D. Power.

If realized, this sales rate would be the highest since November 2007, and if the actual number of vehicles sold reaches nearly 1.5 million, it would be the best sales month since May 2007.

“The U.S. auto recovery seems to be operating on auto pilot, a welcome stage of stability at a higher pace,” said Jeff Schuster, senior vice president of forecasting at LMC Automotive.

LMC said it is maintaining its full-year 2013 sales forecast of 15.6 million new vehicles sold, up from 14.5 million last year. North American light-vehicle production through July was up 4 percent from last year as the industry continues to manage a lean supply-to-demand ratio, J.D. Power and LMC said.

Via Reuters