Big Drop Expected For December Auto Sales [Carpocalypse Now]

Most obvious prognostication ever. [Detroit News]

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UAW: Senate GOP Voted Against Bailout To Strike "Blow Against Organized Labor" [Carpocalypse Now]

At a press conference today, UAW President Ron Gettelfinger read an e-mail indicating Senate GOP members played political games, voting against the auto bailout bill as an attack against organized labor.

UAW President Ron Gettelfinger read an e-mail he claimed was from Senate GOP staffers indicating the Senate GOP was trying to deliver a blow to organized labor and the UAW. The alleged e-mail states:

"Republicans should stand firm and take their first blow against organized labor rather than from it...again, the hardest thing for the Democrats to do is get 60 votes. If we can hold the Republicans, we can beat this."

Later in the press conference, Gettelfinger claimed the Republican minority in the Senate voted against cloture on the Senate bill as an attack on the UAW due to their political effectiveness against their membership.

Alex Taylor on CNBC put this whole debate over UAW wages, whatever they may be, into perspective as he said labor cost per car are really only about $800 per car, so even if the UAW were to work for free, it wouldn't save GM from failing in the month of December.

Thank you Senate Republicans, for putting politics in front of staving off Carpocalypse Now. [via CNBC]

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VW Passes Exxon As World's Largest Company By Market Cap [VW Is Bigger Than Big Oil]

A massive stock price surge in shares of Volkswagen after Porsche's weekend news they'd be snagging a 75% share of the automaker, has briefly allowed VW to stake the claim as the world's largest company by market capitalization, passing oil giant Exxon Mobil. Volkswagen continued to climb Tuesday as short sellers rushed to cover positions with VW shares rising as much as 93% on Tuesday in what we're terming the craziest short sale of all time. With mid-day gains of "just" 50%, the stock is trading about five times higher than lows reached in January. Who knew Porsche could still cause such a stir? Whatever — it won't last long.

Since it's just short-seller covering positions, and sales are only up 3.9% (although that's not too shabby in these times), we're expecting the price to come back down to earth shortly.

But, for the moment VW shares, with a free float estimated to be as low as 5% with Porsche and the Lower State of Saxony holding much of the company, were at its high of Tuesday worth 295 billion euros, or $367 billion. Exxon Mobil closed Monday with a market capitalization of $343 billion. Quick, Congress, get to the floor and pass another tax break for "Big Oil!" We'll teach the Germans nobody pushes our oil companies around. [Marketwatch]

Photo Credit: Getty Images

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