Automotive markets heading down after Sept

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The bigger story is the sheer number of underwater auto loans and leases that are delinquent, the auto finance bubble is ready to blow.

Will be interesting times if nearly a 1/3 of cars in some markets need to be repro'd
 
Originally Posted by Rmay635703
The bigger story is the sheer number of underwater auto loans and leases that are delinquent, the auto finance bubble is ready to blow.

Will be interesting times if nearly a 1/3 of cars in some markets need to be repro'd

While I totally agree with the number of delinquent loans, I don't believe the bubble will ever "burst".
Far too many other factors at play that will keep things moving along.
 
Automotive sales are down worldwide, its a big reason for the slowdown in manufacturing overall.
Wait until Q1 2020 when there ae still a bunch of '19's around.
 
This is not new and GM and others have been making cuts as they have seen this coming a mile away. I moved my retirement money mostly to bonds as the foundation of the market has been soft for a while. Just takes time for the pieces to start falling.

It also why GM fought back against people that kept asking them why they were shutting down plants when sales were good.


With that said we have held off replacing my truck till next year. Should be some good deals for those with cash.
 
Originally Posted by Rmay635703
The bigger story is the sheer number of underwater auto loans and leases that are delinquent, the auto finance bubble is ready to blow.

Will be interesting times if nearly a 1/3 of cars in some markets need to be repro'd

It seems the business booms are from people buying what they can't afford.
 
Originally Posted by CT8
Originally Posted by Rmay635703
The bigger story is the sheer number of underwater auto loans and leases that are delinquent, the auto finance bubble is ready to blow.

Will be interesting times if nearly a 1/3 of cars in some markets need to be repro'd

It seems the business booms are from people buying what they can't afford.


The booms occur when future demand is pulled into the present. The impetus is low rates and longer loan terms. This artificial demand creates a false signal to increase capacity because once that demand has been consumed you have to reduce capacity and wait. Automakers carry much of the blame themselves but there are other forces (monetary policy by the US Federal Reserve) which added some juice.
 
And with longer loan terms it will be longer before the customer is in a financial position to trade again.
 
Jalopnik should be taken with five pounds of salt 🧂.

A collapse? I guess it all depends on the meaning.
 
Originally Posted by madRiver
From Jalopnik: https://jalopnik.com/the-collapse-might-finally-be-here-1838696472

September news:
Subaru breaks it 93 month sales streak of increases
Toyota-Lexus drop 17%
Hyundai-Kia - down ~10% except Genesis
Better time to buy a new car in next few months those with cash in hand.


Our economy is slowing down big time, even companies like Carnival Cruise Lines is seeing a decline in passengers.

Some folks are simply cutting back on big ticket spending.
 
Originally Posted by Mr Nice
Originally Posted by madRiver
From Jalopnik: https://jalopnik.com/the-collapse-might-finally-be-here-1838696472

September news:
Subaru breaks it 93 month sales streak of increases
Toyota-Lexus drop 17%
Hyundai-Kia - down ~10% except Genesis
Better time to buy a new car in next few months those with cash in hand.


Our economy is slowing down big time, even companies like Carnival Cruise Lines is seeing a decline in passengers.

Some folks are simply cutting back on big ticket spending.



Hogwash.
Everyone is spending, always have, always will be.

"Despite the cost of living, it still remains popular"
 
Knew the party had to end. Well, at least this party--I'm sure the correction will hurt, and I'm sure we'll all be partying at some point in the future. Too bad I don't have cash for a new car, might have been well timed. Oh well. Maybe 0% APR will come back around when the correction bottoms out, pick something up then, pay off when the going is good.
 
Originally Posted by Lolvoguy

Everyone is spending, always have, always will be.

"Despite the cost of living, it still remains popular"

Heh, I like that saying. I'll have to remember it.
 
Originally Posted by Lolvoguy
Originally Posted by Mr Nice
Originally Posted by madRiver
From Jalopnik: https://jalopnik.com/the-collapse-might-finally-be-here-1838696472

September news:
Subaru breaks it 93 month sales streak of increases
Toyota-Lexus drop 17%
Hyundai-Kia - down ~10% except Genesis
Better time to buy a new car in next few months those with cash in hand.

Our economy is slowing down big time, even companies like Carnival Cruise Lines is seeing a decline in passengers.

Some folks are simply cutting back on big ticket spending.

Hogwash.
Everyone is spending, always have, always will be.

"Despite the cost of living, it still remains popular"


Tons of people over leveraged up to their eyeballs in debt.
 
"Our economy is slowing down big time, even companies like Carnival Cruise Lines is seeing a decline in passengers.
Some folks are simply cutting back on big ticket spending."
[/quote]

One thing that I can't understand is people paying big money to go to a sports event....and the food and beer prices that go with it...A family of 4 going to a pro football game can easily go for $1000....ridiculous, IMO....
 
Originally Posted by pbm
One thing that I can't understand is people paying big money to go to a sports event....and the food and beer prices that go with it...A family of 4 going to a pro football game can easily go for $1000....ridiculous, IMO....

I get that it can be fun, but I balk at the price. When it's pocket change is when I'll consider it.

Years ago I went to a hockey game (in college so I think it was free) and couldn't see any of the action. Commercials may be annoying but TV has the best seats in the house. [But then again I don't have cable TV so maybe I'm wrong there too.]
 
Labor day weekend was counted in September last year. This year Labor Day weekend was counted in August. They usually sell quite a few cars over the Labor Day weekend
 
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