As we did at the end of the second quarter, our team took a look back at the market predictions we posted in January. This quarterly review is helpful, as it allows us to see how the market has progressed compared to expectations. Forecasting is a tough business, especially in a year with so many changing … 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 is headed further down with a 10% decline in permits in August. Existing home sales dropped less than expected in August, but sales have fallen for seven straight months. More declines are expected as supply is shrinking as fewer existing homeowners are interested in selling. With the Fed’s aggressive rate plans, mortgage rates … Continued
The Fed raised the target for the Federal Funds Rate by three-quarters of a percentage point today, making another aggressive move to, as Fed Chair Jerome Powell suggests, induce “pain in the economy” as the cost of reducing inflation. The biggest news was not today’s increase, but the plans for where rates go from here. … Continued
The financial markets responded negatively this week to a mixed August inflation report that showed headline inflation coming down slightly, but not as much as expected, and showed core inflation accelerating with rents accelerating and food prices still growing even with gas prices declining. Retail sales in August were stronger than expected. Consumers spent less … 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.
Average new-vehicle prices hit a new record in August. Pricing power remains strong for manufacturers and dealers. Used-vehicle sales increased in August from July. Used supply is a bit higher than normal in retail and in wholesale, and as a result, wholesale prices in August declined more than normal for the time of year. Supply came … Continued
Job growth decelerated in August and was close to expectations, especially with downward revisions to prior reported payrolls. The headline unemployment rate increased to 3.7% in August and is now again higher than the pre-pandemic low in February 2020. August total new-vehicle sales volumes were up 3.2% year over year, with one more selling day … 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.
Economic growth declined less than initially estimated, and consumer spending was revised up. The job market remains strong, but the housing market is in decline. The drop in real GDP in the second quarter was revised to a smaller 0.6% decline from an original estimate of a 0.9% decline as consumer spending was revised up. … Continued