US car sales stumble 15th December 2004

Weaker car sales in the US have hampered growth in the country's retail sector according to new figures released by the Commerce Department.

Overall retail sales hovered around the same mark, rising just 0.1 per cent in November, with the automotive industry performance proving disappointing.

Vehicle sales dipped by 1.3 per cent for November, although analysts said the trend appeared to point to a potentially stronger December.

A number of experts told Reuters that the indications were that consumers were holding back in the hope of better bargains in the run up to Christmas.

Last month's figures showed a similar dip in US consumer spending on cars with the sector experiencing a 2.2 per cent decline in sales.

Some analysts have pinpointed rising petrol prices as responsible for the downturn, although there has also been a drop off in purchasing incentives.


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