The stocks of major U.S. automakers have been falling sharply in recent days. The earnings outlook is bleak. Considerable market share has been lost to foreign auto manufacturers. Analysts are bearish. The public is bearish.
Professional investors are bearish.
Auto sales are still strong but declining. There is talk that Ford may have to cut its dividend. There is also talk that Ford s credit rating may be lowered. It all adds up to a bearish picture. The news has persuaded many investors to sell their auto stocks and it continues to dissuade investors from buying these stocks.