Reading the Signals: Sales Momentum, Rates, and What Comes Next

**What are today’s economic signals really telling us about where the auto market is headed next?** In this episode of The Auto Market Brief, Cox Automotive Executive Analyst Erin Keating is joined by Chief Economist, Jeremy Robb, to break down the latest data shaping the market, from interest rate volatility and inflation trends to consumer spending behavior and recent shifts in vehicle sales performance: **What rising rates and inflation mean for affordability:** Treasury yields have reached levels not seen in years, driving continued pressure on borrowing costs and influencing how lenders price auto loans across the market. **How consumer spending is holding up, and where it’s shifting:** Overall spending remains positive, but rising fuel costs are taking up a larger share of consumer budgets, raising questions about how long that resilience can continue. **Where sales momentum is coming from today:** New vehicle sales are showing strength, supported by growing demand for hybrids, while used vehicle values and EV pricing trends reflect tight supply and sustained interest in more efficient options. The episode also explores key industry developments, from OEM strategy shifts and production challenges to evolving tariff discussions and regulatory activity, offering a clearer view of what these signals could mean for the road ahead. The Auto Market Brief delivers timely data, clear context, and practical insight to help industry leaders make smarter decisions—what’s happening now, and what’s coming next. The Auto Market Brief is powered by Cox Automotive. For more industry insights and expert perspectives, visit our Insights Hub at https://www.coxautoinc.com/insights.