On predicted volume of roughly 1.139 million units, US
auto sales in October will reach a seasonally adjusted annual rate
( SAAR) of 14.7 million systems, according to S&P Global Mobility
quotes. While this would mark the greatest monthly SAAR level
in 8 months, the underlying characteristics of the market remain in
flux.” Pockets of lorry inventory levels continue to enhance
more quickly than gotten out of extraordinarily low levels and
bring welcome news on the supply side of the equation.
car customers are most likely feeling the pressure of existing financial
headwinds,” according to Chris Hopson, Principal Analyst at
S&P Global Mobility. “While we continue to indicate
inventory levels as a major factor in stemming immediate-term
momentum in automobile sales levels, the degrading financial
conditions are becoming more widespread.” Hindered by higher rates of interest settings and lower levels of
jobs growth than formerly prepared for, customers are expected to
retrench – thereby becoming a major input element to car demand
levels over the next 12-18 months. In its October 2022 US Economics
update, S&P Global Market Intelligence team has revised
downward its projection of genuine GDP development in 2023 from 0.9% to
-0.5%. The base forecast now consists of a moderate economic crisis beginning in
the 4th quarter of this year, with an anemic healing taking
keep in the third quarter of next year.If theres a silver lining, the capacity for faster new-vehicle
inventory development ought to enable downward pressure on lorry
prices and offer some clearance for vehicle consumers happy to
test the marketplace in 2023.

This short article was released by S&P Global Mobility and not by S&P Global Ratings, which is an independently managed department of S&P Global.