Efraim Levy, equity analyst at S&P Capital IQ, speaks on GM’s decision to halt auto sales to dealers in Russia earlier this week. Levy says that in the short term there should be a spike in auto sales as Russians are buying up cars and other assets as a way of putting their money into something tangible. Levy says that automakers have been scaling back their production as a means of dealing with their exposure in Russia. He also explains that companies that are selling their cars in rubles and translating these sales into other currencies will have issues with profitability if the ruble continues to fall. Whalen MacHale reports for TheStreet from New York.
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