The government’s “Cash for Clunkers” initiative stimulated auto sales, but analysts don’t think that trend will continue now that the program has expired.
A report released by the Federal Reserve on Wednesday gave some indications that, for half of the districts tracked by the Fed and for certain markets, the American economy is slowly starting to revive from its near-death experience last fall.
Reuters via Google News:
“Most districts noted that the outlook for economic activity among their business contacts remained cautiously positive,” the Fed’s Beige Book survey said.
The modestly upbeat report said most regions reported some improvement in hard-hit residential real estate markets and an uptick in manufacturing.
[...] Tempering the brighter spots, Fed contacts reported that demand for commercial property remained weak and that businesspeople in some areas believed recently higher vehicle sales levels were likely not sustainable after the government’s “cash for clunkers” incentive program lapses.