will Ford post 1st monthly sales increase in years ?

Surging demand from the U.S. government's "cash for clunkers" program has helped lift Ford Motor Co. to its first monthly increase in two years, the company's top sales analyst said Sunday.
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July sales results mark the first year-over-year gain for Ford since November 2007 and apparently the first uptick by any of the six biggest carmakers since last August, George Pipas said.
He declined to disclose a specific total before sales results are officially reported on Monday. Dearborn, Michigan-based Ford sold a total of 161,071 vehicles in July 2008, down 15 percent from a year earlier.
The increase further testifies to the successful reception of the government rebate program, which President Barack Obama signed into law June 24 as part of a broad $106 billion spending bill.
"We were having a good month -- and Ford's been having some good months lately -- but the (clunkers) program really put us over the top for sure," Pipas said in a telephone interview.
The government's Car Allowance Rebate System (CARS) was designed to get old, polluting vehicles off the road and scrapped while helping car dealers emerge from the recession. Owners of gas-guzzlers could receive rebates of $3,500 or $4,500 toward the purchase of a new fuel-efficient car. The program proved wildly popular and led to the sale of 250,000 new vehicles in just days.
Transportation Secretary Ray LaHood said Sunday he expects the current $1 billion pool, which had been expected to last until November, to be exhausted by the end of this weekend. The House on Friday approved an additional $2 billion, shifting funds from a renewable energy loan program, and the Obama administration is pressing the Senate to go along before its summer vacation begins at week's end. If the Senate does not approve the additional funding, the progam will have to be suspended.
Improved sales at Ford and elsewhere may be another sign that the economy has either bottomed out or is nearing a bottom. The government reported Friday that the economy shrank at a pace of just 1 percent in the second quarter, better than analysts anticipated and much better than the 6.4 percent decline seen in the first three months of the year, which marked the steepest slide in nearly 30 years.
Pipas said the July sales increase is "some indication that consumers are getting their feet on the ground again. ... I think it indicates that maybe the worst is behind us, sales-wise."
The July sales also make it the ninth month in the last 10 that Ford has posted a gain in market share, he said.
Pipas said that is evidence of the success of the company's new products -- the Fusion and the Fusion hybrid, the Escape, the redesigned Focus, the Mercury Mariner and the Mercury Milan -- all of them among its most fuel-efficient vehicles.

Market Highlights !

Pros Say: Markets Set for Another Pullback
By: JeeYeon Park
Stocks opened lower on Monday after a key manufacturing barometer showed factories continue to suffer in the slumping economy. The New York Empire Manufacturing Index slumped 9.41 points in May, indicating difficult times in the sector and presenting a headwind for economic growth. And IMF chief Dominique Strauss-Kahn said that the worst may be yet to come for the global economic crisis. Read and listen to what the experts had to say…
Markets Set for Another Pullback
The move to the upside over the last week or so has been caused more by a lack of selling pressure, said Dodge Dorland, CIO of Landor Capital Management. “If selling pressure comes back into the market, the demand for buying stocks now is rather weak relative to what it's been, and so we're setup for a pullback," he said.
Doll: Market May Pause but Will End Year Higher
Markets Are Still Contracting
The economy has averted a depression, but it is still shrinking and the stock market has got carried away with all these green shoot discussions, said Juerg Zingg of Q Investments. “There’s nothing like a rebound here—markets have taken too much optimism as a result we expect market correction,” he said.
Art Cashin: The S&P's 'Break' Point Now
Investors Too Nervous to do Anything
According to Barclays Wealth and The Economist Intelligence Unit's latest report, high net-worth investors across the globe say they are seeing significant investment opportunities in the current markets, but most are still too nervous to take the plunge.
Yoshikami: The Next Menace — Stagflation
Airline Industry to Recover in 2010
"I'm very much a believer in the long-term positive dynamics for the aviation industry," said Dave Cote of Honeywell.
Scott Carson of Boeing Commercial Airplanes said "it feels like we've seen the bottom of the freight market. It feels like we're bouncing off the bottom of the passenger market." Both Cote and Carson said that the industry could recover in 2010.
Complete Paris Air Show Coverage
Obama’s Health Care Plan ‘Totally Unrealistic’
David Walker of the Peter G. Peterson Foundation says escalating health care costs represent the single largest driver of the country’s debt. He criticized Obama’s current health care reform proposals. “[Obama’s] pledge to not raise taxes on people who are making less than $250,000 was totally unrealistic…We need toward move to universal coverage, but we need to focus on basic and essential coverage,” he said.
Obama Wants New Cuts in Federal Health Spending

Hybrid or Electric Cars ?

Provided By: Jalopnik.com
2010 Fusion Hybrid
At an auto show that lacks "buzz", there are a couple of battles taking shape. Both of them could have major implications as to what we will be driving for years to come.
Hybrids
After dominating the gas-electric hybrid category for years, Toyota's

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Prius will soon find itself facing some legitimate competition. Ford's
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Hybrid Fusion hits showrooms this spring boasting 41 mpg and the ability to get 700 miles on tank of gas. It's styling, which is nice, but unremarkable presents a far different look than the Prius.
Honda's
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new Insight is another "Prius fighter" and is already getting plenty of attention because its styling is no longer quirky. It will get 40 mpg when it goes on sale this spring. Honda hopes to sell 90,000 annually in the U.S. For comparison, Toyota sold 159,000 Prius hybrids last year.
Don't count out the Prius. It's been re-designed, will deliver better mileage, and will be unveiled Monday in Detroit. Even though Prius sales may pale in comparison to the Toyota Camry and Corolla, it is a critical car for the Japanese auto maker. The Prius is the ultimate "halo car" in the auto world with 70% owner loyalty and a pristine image that has put Toyota above the competition. You bet they want to win this new battle in the hybrid war.
Electric and extended range electric cars
Even though these models won't be out for a few more years and only in limited numbers, the electric car competition is heating up.
GM

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cnbc_quoteComponent_init_getDatagets the most attention, largely because of how much publicity the Chevy Volt has generated. This year in Detroit GM has made it clear it is leveraging the Volt technology with plans for more electric cars. The Cadillac Converj is generating the most buzz given its aggressive look and a cock pit that looks like something out of Knight Rider. Yes, I know that it's a concept, so how much of the touch screen instrument panel become reality, is very much in doubt.
Ford and Chrysler have also announced plans to build and sell electric cars by 2011. Toyota will sell one by 2012. Exactly what those models will look like remains a big question, but the fact they are all committed is important. It shows everyone wants to tap rapidly developing technology for "zEro" or low emission vehicles.
Tesla is stepping up to the plate and has a presence on the main floor here in Detroit. Tesla has legions of fans (yes, I hear you) who believe the company does not get the credit it deserves for sparking interest in electric cars. Perhaps they're right to an extent, but Tesla also needs to roll out a greater number of models at lower price points as this electric car business heats up.
Finally, Chinese auto maker BYD is showing it e6 electric minivan. It will run on ferrous metal batteries developed by BYD. These batteries are designed to deliver better performance than lithium ion batteries. BYD plans to sell the e6 in the U.S. by 2011 at a price of $30,000 to $40,000.

Ford & GM Car Sales Plunge over 30 % , worst since 1982 ??

Ford Motor Co on Monday posted an unadjusted 30.2 percent plunge in U.S. auto sales in October under pressure across all vehicle segments amid the slowing domestic economy and weak consumer confidence.

Ford, which posted an $8.7 billion second-quarter net loss, on Friday is expected to report a third-quarter net loss and to update its plans for maintaining liquidity to cope with the U.S. sales slowdown now seen continuing through next year.

The sales declines landed hardest on the SUV and crossover segments for the Ford, Lincoln and Mercury brands combined.

For October, sales fell to 132,838 vehicles from 190,195 vehicles a year earlier, including all of Ford's brands, the automaker said.

Ford, Lincoln and Mercury brand sales fell 29 percent from a year earlier. In those brands, car sales fell 26.8 percent, crossover sales 38.8 percent, SUV sales 53.9 percent and truck and van sales 19.2 percent.

The automaker has launched a redesigned version of its top-selling F-150 pickup truck, including a new national ad campaign that started on Sunday. It also has accelerated plans to shift some truck production in North America to cars.

The automaker said it had its highest retail market share in two years, supported by its top-selling F-Series pickups, where sales fell 16.3 percent to 43,324 from a year earlier.

Among other key vehicles, Ford reported that sales of its Focus compact car fell 18.2 percent, while sales of the Fusion midsize sedan fell 3.3 percent.

The results were not adjusted for an additional selling day in October 2008 versus a year earlier.