Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: Steve Lee who wrote (14904)	10/29/2002 10:57:21 AM
From: robert b furman	Respond to of 19219

Historically 70-75 % of car buyers finance their vehicles. Currently about 90 % of car buyers are financing. The difference is those who usually pay cash for their car purchases. Those who can't afford to pay cash are still there. Those who can afford to pay cash, are also smart enough to keep their money inl ieau of free money- thus the 15% increase in time sales penetration. Even if it only pays 2-3 % in treasuries - they know how to work it. No bubble in sight - just a growing market.Primarily growing because low rates have reduced the used car market size by luring the typical "like new" buyer into "New Buyer". The population increase in the USA has grown faster than the market and as you've noticed many are parking their money into real estate. The exitence of a second home often requires the need for a second or third car for the owners vs renting. No Bubble just minimal growth in the natural size of the total new car market. Recent estimates of the "Natural new car market have gone from 15-15.5 million annual units to 16-16.2 million units. Eight percent max but most likely closer to 4%. Bob