October inventory levels portend a combination of increased market spiffs and production cuts as the industry adjusts to flattening demand after seven years of growth.
How GM, Ford and Toyota react to the downturn – whether streamlining production, raising market incentives or a combination of both – could determine the year’s final outcome.
April’s SAAR is likely to spike upward from March, but because it is a rarity for two consecutive months to have more selling days than normal, averaging the totals for both months will be best to judge the period’s results.