Auto sales still strong

U.S. sales of light vehicles posted a 13.2 million (saar) rate in October, slightly more than expected. These charts show the data from a long- and short-term perspective. Since the bottom in Feb. '09, and abstracting from the temporary boost from the "cash-for-clunkers" program and the disruptive impact of the Japanese tsunami earlier this year, vehicle sales have risen at a 14% annual rate. Although the level of sales is still depressed from an historical perspective, the recovery is proceeding at a fairly impressive pace. Nothing to worry about here.