InvestIdeas

New delinquent U.S. car loans at 8-year peak: NY Fed survey

Car loans delinquent by 30 days or more grew to $23.27 billion, the most since $23.46 billion in the third quarter of 2008. They were up from $22.98 billion in the prior quarter.

Seriously delinquent auto loans whose payments were 90 days or more past due jumped to $8.24 billion in the fourth quarter, the highest since the third quarter of 2016, according to the survey.

Auto debt hit $1.16 trillion, with a $93 billion rise over the year.

Mortgage debt totaled $8.48 trillion at the end of the last quarter, up $231 billion from a year earlier.

Student loan debt stood at $1.31 trillion, up $78 billion from a year ago.

Source: Reuters

http://www.reuters.com/article/us-usa-f ... US%20Money

Auto loan delinquencies are soaring

Source: Daily Crux

http://thecrux.com/auto-loan-delinquencies-are-soaring/

China: Domestic car makers flourish on strong demand from lower-tier cities

China’s 1.4 billion population owned 190 million cars last year, according to the Ministry of Public Security, and the number is expected to keep accelerating

49 per cent of the total population, or almost 700 million people, are becoming more willing to spend, and spend big.

“Foreign brands are declining in China, and the future of the country’s domestic car market lies in the hands of indigenous players that offer better value for money.”

Source: SCMP

http://www.scmp.com/business/article/20 ... ier-cities

US: Used car prices crash most since 2008

Source: Daily Crux

http://thecrux.com/used-car-prices-cras ... ince-2008/

As Silicon Valley Takes Over Detroit, Here’s Where to Put Your Money

BY MICHAEL A. ROBINSON

Source: Strategic Tech Investor

http://strategictechinvestor.com/2017/0 ... /#deeplink

Yellen’s Next 0.25% Rate Hike Could Destroy This Industry

by TOM GENTILE

Back in February 2016, one of the “Big Three” credit bureaus, Experian, reported that auto loan delinquencies had hit a six-month high.

Of those loans, nearly 5% of subprime loans were delinquent by 60 days or more – the highest level since 2008 at that time.

Losses for these loans came in at 9% in January, up from 7.9% in January 2016. Even worse, it’s reporting recoveries dropped to 34.8% – the worst since early 2010.

Source: Power Profit Trades

https://moneymorning.com/investing/here ... rate-hike/

The struggling auto industry is rolling over

Source: Daily Crux

http://thecrux.com/the-struggling-auto- ... ling-over/

Car Inventories Balloon to Highest Level Since 2009

By Douglas A. McIntyre

Car inventories, measured by the average amount of time a car sits on a dealer lot before it is sold, reached 70 days for the first 19 days of March. This was the highest level since July 2009, which was in the middle of the Great Recession. The July 2009 figure was 80 days, according to J.D. Power and LMC Automotive.

The inventory data coincide with two other car industry trends. The first is that the average price of a car sold in the first 19 days of March reached $31,074, an all-time high for the month. This topped the previous record of $31,049 set in March 2016.

The second trend was that incentives through March 12 hit an all-time high of $3,768, topping the previous record of $3,609 set in March 2009.

Source: 24 7 Wall Street

http://247wallst.com/autos/2017/03/28/c ... Newsletter

Deep subprime auto-loans are surging

Source: Daily Crux

http://thecrux.com/deep-subprime-auto-l ... e-surging/

Auto stocks slide after disappointing US sales

Source: Daily Crux

http://thecrux.com/auto-stocks-slide-af ... u-s-sales/