No Jobs, Yes Cars?

Depending on whom you believe, the unemployment rate is either just shy of 10 percent or in fact higher when you account for job seekers who’ve given up looking. The economy lost more than 450,000 jobs in June. Ouch. But does that mean the mild recovery in the auto industry will peter out? Or will the mild “rally” in the auto biz stay on track? Chances are good. There’s life again in the leasing market, and new car sales have picked up, mainly because anyone who wants a vehicle can get a terrific deal. The auto market can almost be seen as operating in a different realm from either the housing market or the consumer-good market, as well as the stock market. Halfway decent credit terms are available and combined with a purchase that’s too steep for most people to use cash for, but open to serious haggling. And in the end, you’re talking about a loan for less than $30,000, in many cases. A far less complicated proposition than a home loan for $300,000. Plus, cars wear out. In a hurry, even ... (link)