Reading: Car Sales – Light at the End of the Tunnel?

As everyone peddles news of doom and gloom it is a pleasant change to receive news that suggests that the recession may not be as bad as feared. EurotaxGlass’s, publishers of Glass’s Guide, have made optimistic noises about the state of the car market in 2009. They say that the used car market will recover first, and that will be followed by a resurgence in the sales of new cars.

Adrian Rushmore, Managing Editor at EurotaxGlass’s, explained, “In the short term, conditions will remain difficult for car dealers, reinforced by the usual seasonal decline in demand that accompanies the latter months of the year. However, we believe the swift and painful downturn we saw in the summer months of 2008 was probably a one-off event. The arrival of the ‘09’-plate next March will clearly be an acid test for both new and used sales, and analysis of the current market indicators suggests there are reasons for cautious optimism”.

Rushmore’s statement puts an extremely positive gloss on the future state of the market, “In the first instance, economists are agreed that the inflation rate has probably peaked, and that by the middle of next year the economy will be almost inflation-free. In the short term, this move will be helped by declining fuel prices and further falls in the Bank of England base interest rate, making a tangible difference to consumer’s household finances. As these pieces of good news are drip-fed into news bulletins, it is quite possible that the knock-on effect will be to inject a little buying enthusiasm into the minds of consumers by the first quarter of next year”.

Makes you feel positively bullish.

This entry was posted on Thursday, November 27th, 2008 at 9:07 am and is filed under News. You can follow any responses to this entry through the RSS 2.0 feed.