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August auto sales strengthened despite economic, hurricane challenges

Posted
9/2/2011 2:35:00 AM
By: Henry Brier
Referenced Stocks:F;GM

Sales of the three American carmakers showed strong signs in August, rising from the month prior and August 2010, The New York Times reports .

Industrywide sales for last month were 7.5 percent higher than those of August last year while the comparison from July 2011 saw sales increase 1.2 percent, Autodata information states. Data about sales increases comes following tumult caused by Hurricane Irene and indications of a rough patch for the recovery from the Great Recession.

"Consumers are getting used to making these big-ticket item purchase decisions in an everlasting, chaotic, uncertain economic environment," industry trends and insight vice president Jesse Toprak with research firm TrueCar.com told The New York Times. "We're seeing more and more consumers becoming relatively comfortable in pulling the trigger when they don't have all the answers."

On Thursday morning, stock for General Motors ( GM ) was down more than 4 percent to roughly $23 per share. Ford ( F ) stock was down nearly 2.5 percent with shares worth slightly less than $11 apiece.

Japanese manufacturers continue suffering from low inventories as a result of the March 11 earthquake and subsequent tsunami off the coast of Northern Japan, which is likely to impact fourth quarter sales, according to The Detroit News.