02 May 2023 | Article | Market Analysis | Markets | | | Higher interest rates, elevated prices and fear of recession undoubtedly are pushing some consumers out of the market, but pent-up demand (especially from fleets), increased availability and an economy still seeing job growth and wage increases are offsetting the headwinds. Incentives are rising from rock-bottom lows, which helps, but those gains are more in line with what would be expected as inventory rises from historic lows rather than from automakers simply reacting to consumer pullback. |
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| Higher interest rates, elevated prices and fear of recession undoubtedly are pushing some consumers out of the market, but pent-up demand (especially from fleets), increased availability and an economy still seeing job growth and wage increases are offsetting the headwinds. Incentives are rising from rock-bottom lows, which helps, but those gains are more in line with what would be expected as inventory rises from historic lows rather than from automakers simply reacting to consumer pullback. |
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