Last week featured mixed news with enough strength in the economy and consumer spending to result in more rate increases and communication of more increases to come from the Fed this week. Check back on Smoke on Cars for additional commentary after the announcement on Wednesday, November 2. The third quarter saw a strong rebound … Continued
The video below is part of a biweekly Auto Market Report series focusing on data and insights that provide a holistic view of the auto industry. Chief Economist Jonathan Smoke leads our effort to translate data and trends into actionable insights. Download this week’s presentation.
Residential construction trends in September were mixed, but single-family housing activity is clearly declining. Existing home sales fell in September for the eighth straight month. More declines can be expected as demand wanes and supply remains very limited, unlike the 2008 downturn. Initial jobless claims declined in the latest week, and jobless claims overall remain … Continued
Financial markets had a roller coaster ride last week, ending the week lower due to stronger-than-expected inflation data and consumer sentiment data indicating rising inflation expectations. Both suggest the Fed will raise rates as much as planned in November and December and possibly more. The September Consumer Price Index (CPI) inflation report indicated headline inflation … Continued
We have received many inquiries about what we believe the damage due to Hurricane Ian might have been in Florida and the subsequent impact on replacement demand and wholesale prices. Here’s our thinking at this point: We believe the likely range of severely damaged vehicles that could need replacement is between 30,000 and 70,000 vehicles. … Continued
The video below is part of a biweekly Auto Market Report series focusing on data and insights that provide a holistic view of the auto industry. Chief Economist Jonathan Smoke leads our effort to translate data and trends into actionable insights. Download this week’s presentation.
The September employment report revealed a too-strong job market and raised the likelihood of the Fed doing another jumbo rate increase in early November. September saw slowing but strong job growth and a decline in the unemployment rate back to the pre-pandemic low of 3.5%. Wage growth was steady. Jobless claims have moved higher in … Continued
Last week, we reviewed our sales forecasts for the third quarter of 2022 and offered our perspective on the factors that continue to present a bumpy road for the auto industry. A replay of that presentation is posted in the Cox Automotive Newsroom. This week, we are beginning to see more clearly the September data and, … Continued
September ended with negative mojo. Damage from Hurricane Ian is just now being assessed in Florida and South Carolina. Economic indicators were mixed. The final estimates for second-quarter economic growth as measured by GDP left the 0.6% decline unchanged, but consumer spending was revised up and was stronger than expected as inflation accelerated in the … Continued
A replay of the Cox Automotive Q3 2022 Industry Insights and Sales Forecast Call held on Wednesday, September 28, is available below. Cox Automotive Chief Economist Jonathan Smoke and our Industry Insights team provided a deep dive into the economy and auto industry – the new, used and wholesale vehicle markets for the third quarter. The Cox Automotive September … Continued