Regular readers remember the CNBC fluff piece suggesting Americans were losing their love affair with the automobile because fewer miles are being driven. Less than a week later, both Chrysler and Ford report surging car sales.
Now, today, in a story almost as prominent as the story about Syria, The WSJ reports that US car sales soar to pre-slump level:
The U.S. auto industry has shifted into high gear with new-car buyers snapping up vehicles last month at a pace not seen since before the financial crisis.
Low interest rates and slow-but-steady job growth are encouraging consumers to trade in cars and trucks that average about 11 years old, say auto makers, which are adding production capacity and overnight shifts to satisfy demand.
All told, buyers purchased 1.5 million vehicles last month, up 17% from a year ago, with nearly all major auto makers reporting double-digit sales gains. The demand has customers scrambling for certain models and colors, and prices climbing on hard-to-find cars including Nissan Motor Co.'s compact Sentra, Ford Motor Co.'s Fusion sedan and Subaru's Forester wagon.
The faster-than-expected rebound in the U.S. is a bright spot for U.S. and other car makers coping with slumping demand in Europe and uncertainty in some big developing markets. Strong sales helped lift the Dow Jones Industrial Average nearly 100 points on Wednesday. General Motors Co. shares rose 5%, to $35.85, and Ford shares climbed 3.5%.Something tells me CNBC will simply ignore their earlier story and move on.
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