, Columnist
Auto Debt Spoiling for a Wreck
Delinquency rates are up and used-car values are falling.
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For the past few months, clouds over the $1.2 trillion market for U.S. auto debt have grown darker.
The latest round of investor hand-wringing came last week when Ally Financial warned its profit would grow less than expected because of falling used-car values. That built on angst triggered by Ford Motor Co.'s decision in November to cut $300 million from its credit arm’s profit forecast for 2017.