Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Compared To USD, Auto Company Stocks Are On Summer Vacation

Published 07/13/2022, 10:29 AM
Updated 07/09/2023, 06:31 AM

Summer is here, and it’s time for a vacation. But this year, flight schedules are anything but reliable, and that new car for the road trip is probably not available at the local Toyota, Honda, Tesla, General Motors, Ford dealership. Due to chip shortages and other issues, most car dealerships have little to no inventory to sell.

High inflation and rising interest rates combined with high gasoline prices are causing people to rethink or pay more attention to their monthly budget expenditures.

Furthermore, if you do decide to buy a used car, be prepared to pay top dollar. In some cases, a three-year-old model may cost you as much as a new one. Historically, autos almost always depreciate, but we are in an unusual market phenomenon where many used cars have appreciated significantly.

What about the auto company stocks themselves? Cash is looking great versus owning one of these auto brands.

Before we motor into the auto company stocks, let’s take a quick look at cash, the U.S. dollar.

U.S. DOLLAR +18.81%

  • U.S. dollar making a new 14-year high
  • 2020-2022 U.S. Presidential Cycle: USD appreciated +18.74% to date
  • 2016-2020 U.S. Presidential Cycle: USD depreciated – 12.80%
  • 2012-2016 U.S. Presidential Cycle: USD appreciated +37.20%

U.S. Dollar Index Weekly Chart.

TOYOTA (NYSE:TM) -26.93%

  • January 2022 to present
  • -$56.77 or -26.93%
  • 22 weeks or 154 days down
  • The bear market has more room to drop; if you own it consider selling on rallies and going to cash

Toyota Weekly Chart.

HONDA (NYSE:HMC) -27.57%

  • August 2021 to present
  • -$9.19 or -27.57%
  • 47 weeks or 329 days down
  • The bear market has more room to drop; if you own it consider selling on rallies and going to cash

Honda Weekly Chart.

TESLA (NASDAQ:TSLA) -47.38%

  • November 2021 to present
  • -$582.69 or -47.38%
  • 32 weeks or 224 days down
  • The bear market has more room to drop; if you own it consider selling on rallies and going to cash

Tesla Weekly Chart.

GENERAL MOTORS (NYSE:GM) -50.18%

  • December 2021 to present
  • -$31.91 or -50.18%
  • 27 weeks or 189 days down
  • The bear market has more room to drop; if you own it consider selling on rallies and going to cash

General Motors Weekly Chart.

FORD (NYSE:F) -55.71%

  • January 2022 to present
  • -$14.11 or -55.71%
  • 22 weeks or 154 days down
  • The bear market has more room to drop; if you own it consider selling on rallies and going to cash

Ford Weekly Chart.

Latest comments

please can you help me
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.