Auto sales volumes improve in August: Scotiabank report

"We estimate that sales totalled an annualized 1.67 million units in August, down from an average of 1.72 million during the previous three months," says Senior Economist & Auto Industry Specialist Carlos Gomes. "Despite the moderation, last month’s results were the highest for the month of August since 2007." According to the study, imported brands led the way, with volumes surging 17% y/y and setting a record for the month of August. In contrast, sales at the Detroit Three dropped 4% below a year earlier, largely due to a weak performance at General Motors. The study notes that in the U.S., purchases were stronger than expected last month, as rising gasoline prices prompted consumers to buy fuel-efficient cars and cross-over utility vehicles. "Volumes climbed to an annualized 14.5 million units last month — the highest level since ‘cash for clunkers’ in mid-2009, and up from an average of 14.1 million between January and July," says the study. "Household purchases led the way, with GM and Ford indicating that their retail volumes surged 15% y/y in August."  www.scotiabank.com/