FRANKFURT (MNI) – German new car registrations rebounded in May but
were well below the previous-year level for the first time since the
start of the year, the Federal Motor Vehicle Office (KBA) reported on
Monday.

Registered passenger cars climbed 5.8% on the month to 289,977, but
were still 4.8% lower on the year.

January-May results were more positive, with a 0.3% annual rise to
1.3 million cars.

With worries over inflation and jobs abating, households appeared
to be in more of a spending mood in May, the GfK Group reported, citing
its latest consumer sentiment survey.

“In addition, the ongoing uncertainty on the financial markets in
combination with historically low interest rates means that consumers
are more likely to make high-value purchases rather than putting their
money in the bank,” GfK said.

— Frankfurt bureau: +49 69 720 142; email: frankfurt@marketnews.com —

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