General Motors and Ford (NYSE:F) both reported June sales numbers which fell short of analysts’ estimates as wary consumers avoided large purchases during the month.
General Motors U.S. sales rose by 11%, missing the 16% estimate average that Bloomberg reported. Ford sales rose by 13%, less than the 16% projection reported by Bloomberg.
Many believe that the reports show that the auto market may be slowing down as consumer confidence falters. During the month of June, there was an annualized rate of 11.1 million vehicle sales, down from 11.6 million in May, according to data from AutoData Corp. The rate improved from 2009’s level of 9.7 million annualized sales. Between 2000 and 2007, deliveries averaged 16.8 million annually.
“Car sales are in line with the consumer confidence numbers that came out, which were a huge disappointment,” said John Wolkonowicz, an analyst with IHS Automotive, a research firm in Lexington, Massachusetts to Business Week. “Traditionally, June is a good selling month. But there are other overriding circumstances this June that are causing some disappointment.”
General Motors saw a 53% gain in Buick sales, a 32% increase in Chevrolet sales, a 39% increase in Cadillac sales and a 45% increase in GMC sales. Sales of the Camaro fell 19%.
