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The auto industry is flashing a warning sign in regard to the US economy
['Daily Report Staff']
Baton Rouge Business Report
The auto sector is sending troubling signals about the U.S. economy, The Wall Street Journal writes.
CarMax reported plunging quarterly sales and profits, sending its stock down 20% as consumer demand weakens.
Tricolor, a subprime auto lender, collapsed into bankruptcy earlier this month, while First Brands, a major auto parts supplier, is preparing its own filing under $6 billion of debt.
Ford is targeting buyers with weaker credit to unload unsold F-150 pickups, while Honda scrapped an electric Acura SUV after just one year.
Though EV sales have surged ahead of an expiring tax credit, gas and hybrid sales are slipping, revealing cracks in the broader market.