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Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.

2016 Mazda CX-3 First Drive

If there's any doubt in your mind about the importance of B-segment crossovers, consider this: our review of the 2016 Mazda CX-3 arrives on your screen less than 24 hours after our first test of the 2016 Honda HR-V. Both of these vehicles are hugely important entries for their respective automakers. And while they take a similar shape and will compete head to head, the truth is, they're very different products. The HR-V is a knockout because of its excellent packaging and added versatility over Honda's own Fit and Civic. It's a wholly competent product, and we imagine it'll be one of, if not the best-selling vehicle in the class. In terms of being desirable for customers, it checks all the necessary boxes: frugal, functional, efficient, and affordable. Mazda takes a similar approach, but focuses instead on its key strength of offering cars that are great to drive, and look damn good. What's more, the CX-3 won't have to share showroom space as the HR-V does with the Fit – the all-new Mazda2 isn't slated for the US right now. Instead, the new CUV will serve as an entry point into the brand. Because of this, Mazda is betting big on the CX-3. That all starts with a product that's appealing to the eye. Design director Derek Jenkins says Mazda "didn't want to do the funky route" with its compact CUV – a nudge to the Nissan Juke and Fiat 500X, right there. Instead, the CX-3 uses the Kodo design language that Mazda has perfected since its production debut on the CX-5 in 2012. Across the board, the company's products look incredible, and the CX-3 is right at home amongst Mazda's latest beauties. Notice the long hood with a flowing character line that runs over the front fender and down the body side, chiseled off at the end with tight rear proportions and a small overhang. Huge arches draw focus to the premium 18-inch wheels found on our Grand Touring CX-3, but swallow up the 16-inch rollers used on lesser models. The glass area is kept to a minimum, but visibility from inside is still quite good. Details like the LED accents in the head- and taillamps look premium and aggressive. From all angles, this is an attractive crossover. It's a bold, dynamic entry in a class filled with cutesy, oddball, and bland designs. Underneath the CX-3 is the Skyactiv chassis found in the new Mazda2. At 168.3 inches long, 69.6 inches wide, and 60.7 inches tall, the CX-3 is smaller than the Mazda3 in every dimension except height.

Autotrader picks best cars for 2015's college grads

Summer is here and the school season is winding to a close. That means millions of students will be graduating college and (hopefully) entering the workforce. For many, that will mean buying a new car suited to the new stage in life into which they will now be embarking. That can be a bewildering choice, especially for someone who's never bought a car before. Fortunately, Autotrader has come up with a short list of recommended cars – new and used – which it recommends to the graduating class of 2015. Among the site's top choices are some compelling crossovers and hatchbacks, including the Buick Encore, Chevy Trax, and Jeep Renegade, as well as the Honda Fit, Nissan Versa Note, Mazda3 and Fiat 500. Can't stretch to buying new, or don't see the point? Autotrader has also identified the Toyota Camry, Ford Fusion and even the Lexus IS as smart buys in the certified pre-owned category. "Any time someone goes through a major life change, such as graduating college, they need to determine if their current ride makes sense for their lifestyle, from both a financial and functional perspective," says Autotrader editor Brian Moody. "For example, while that hand-me-down SUV from your parents was nice when you turned 16, you may want to opt for a safer, more fuel-efficient car as you transition into the working world." Autotrader Names 10 Best Cars for Recent College Graduates ATLANTA, May 28, 2015 /PRNewswire/ -- For many, graduating college is a milestone like no other – it represents a new chapter, a proud accomplishment and, fortunately or unfortunately, financial independence. Luckily for graduates who are in the market for a new car to suit their post-college lifestyle, Autotrader's expert editors say now is a great time to make a purchase, as dealerships are flush with affordable models that are fun, fuel-efficient and thoughtfully designed. Autotrader Logo "Any time someone goes through a major life change, such as graduating college, they need to determine if their current ride makes sense for their lifestyle, from both a financial and functional perspective," said Brian Moody, site editor for Autotrader.