Cars.com Chief Analyst Jesse Toprak: 'There Is A High Correlation Between The Stock Market And New-Vehicle Sales'
Jesse Toprak, chief analyst for Cars.com, told Benzinga that there has always a “very high” correlation between the stock market and new-vehicle sales.
“The correlation between the S&P 500 and the SAAR for new-car sales is a staggering 78 percent,” he said.
Toprak explained that a healthy stock market doesn’t necessarily mean everyone will start buying cars. Instead, he said that the stock market acts as a green light or red light indicator that can either encourage or discourage people to spend money in the auto sector.
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