GM posts loss on $7-bn non-cash charge; margins up despite sales drop

General Motors Co on Tuesday posted better-than-expected quarterly results as cost-cutting and higher vehicle prices offset a double-digit decline in US sales volume and said it expected 2018 would be a strong year globally and in North America, sending its stock up more than 1 percent.

Speaking to reporters, Chief Financial Officer Chuck Stevens said that despite recent stock market volatility due to concerns that the US economy may be overheating, the No 1 US automaker is "not overly concerned about inflation."

"Our forecast is premised on continued growth in the US economy," Stevens said. He said GM expects interest rates to rise 75 basis points in 2018.

Stevens said that a 25 basis point increase in interest rates meant an increase of only $3 for the average car loan payment.