Stocks struggle as slowing auto sales worry Wall Street

NEW YORK (AP) — U.S. stock indexes are slightly higher Tuesday as industrial companies including engine maker Cummins rise after posting strong first-quarter results. Ford, General Motors and Fiat Chrysler are falling after they said their sales shrank in April and energy companies are down after oil fell to its lowest price in almost six months.

The Standard & Poor’s 500 index dipped 1 point to 2,387 as of 2:50 p.m. Eastern time. The Dow Jones industrial average added 8 points to 20,921. The Nasdaq composite lost 5 points, or 0.1 percent, to 6,086 after it set a record high Monday.

While strong earnings reports from companies continued to roll in, there were hints investors were concerned the weak auto sales are a warning sign about the U.S. economy. Those same worries hurt stocks a month ago, when automakers reported their March sales. The Russell 2000 index of small-company stocks sank 10 points, or 0.7 percent, to 1,397.

Car makers reported sharp declines in sales, a strong sign that demand for cars, trucks and SUVs is starting to slow. Ford’s sales were down 7 percent in April as car sales plunged and GM’s sales slid 6 percent as it sold fewer pickup trucks. Vehicle sales have set records the last few years and analysts are worried the streak is ending and car companies are relying too much on discounts and incentives to keep their sales numbers high

Ford lost 51 cents, or 4.5 percent, to $10.91 and GM gave up $1.01, or 3 percent, to $33.19 while Fiat Chrysler skidded 51 cents, or 4.4 percent, to $10.91. Car suppliers and rental companies like AutoNation and BorgWarner slipped as well.

Some investors see car sales as an important indicator of how much consumers are willing to spend overall.