Can Auto Stocks Match Banner Year for Auto Sales?

The video discusses the auto industry's strong performance in 2015, with high sales expectations driven by consumer confidence, lending credit, and low gas prices. Despite this, auto stocks may not perform well due to capacity expansion and cyclical issues. Recalls and global market challenges, such as a slowdown in China, also impact the industry. Currency fluctuations, particularly the Japanese yen, affect automakers' bottom lines. Overall, while car sales are expected to be high, the industry's financial outlook is mixed.

What is the expected car sales figure for 2015 according to JD Power and LMC Automotive?

• 19 million

• 18 million

• 17.4 million

• 16.5 million

Why might auto stocks not perform well despite high car sales?

• Increased capacity and cyclical issues

• High consumer confidence

• Low gas prices

• Strong lending credit

What is the expected impact of additional car buyers on the market?

• They will demand higher prices

• They will stabilize the market

• They will increase profit margins

• They will require significant discounts

What is a significant challenge for automakers related to recalls?

• They reduce production costs

• They impact the bottom line

• They increase consumer confidence

• They affect unit sales

How does the fluctuation of the Japanese yen affect the automotive industry?

• Makes Japanese cars cheaper in the US

• Decreases car sales in Europe

• Boosts sales in South America

• Increases car prices in Japan