While car sales in the U.S. have been doing great for the past year, it is hard for this month’s new registrations to surpass the year-on-year ones, but demands are still riding high.
Next Tuesday, the automakers might be saying that the sales numbers dropped, but the Labor Day weekend could have had a bigger influence than the recent stock share downturn. In August 2014, the selling rate was at 17.3 million and Labor Day took place at the end of the month, while this year, the Labor Day is on the 7th of September.
Moreover, we all know that the Dow Jones Industrial Average plunged about 10% from its 17,54 close a week ago.
Alex Gutierrez, senior analyst for Kelley Blue Book explained that “While the outlook for August remains bright, we must keep an eye on the financial markets which have declined precipitously in the last few weeks on uncertainty in international markets, namely China.”
Gutierrez estimates a 4% decrease for the industry, with a 10% decline for Toyota and 8% for Honda. The two manufacturers would register lower sales as they focus on small and midsize passenger cars, while sales of full-size pickups, SUVs and crossovers would continue to grow.
According to Kelley estimates, GM could also see a 5% drop in sales, while Fiat Chrysler might witness the end of its 64 months of sales increases. TrueCar, another research and car-shopping firm, predicts a 2.9% decrease in the number of vehicles sold and a 0.9% increase in the daily selling rate as August had one less selling day.