ARLINGTON, Va.—Auto sales increased to 17.2 million annualized units in September, continuing a streak from 2015 that NAFCU Chief Economist and Vice President of Research Curt Long described as "remarkably stable…despite a large shift in consumer preferences from autos to light trucks."
"That steadiness is a testament to a solid labor market and consistently high consumer sentiment," Long said in a NAFCU Macro Data Flash report. "Lower interest rates are supporting demand, but car prices are still rising faster than overall inflation. NAFCU expects auto sales volume to remain near its present level for the foreseeable future."
Sales of light trucks rose to 12.5 million annualized units, while car sales remained at 4.6 million annualized units in September. On a year-to-year basis, car sales fell 11.4% while sales of light truck sales rose 3.9%. In total, auto sales fell 0.7% from September 2018.
September's sales were up from the previous month's rate of 17 million annualized units; Long noted heavy seasonal adjustments were made since Labor Day fell in the August sales month.
One other data point worth noting: survey data from the Federal Reserve Bank of New York revealed car loan applications are down: 12% of households applied for a car loan in the past 12 months compared to 14% last year, Long noted.