BUSINESS MEMO: AUTO SALES DOWN

The U.S. auto industry is facing its first monthly sales decline since August 1998, as interest rate hikes begin to steal some heat from a white-hot new car market.

With a few automakers yet to report, U.S. sales of cars and light trucks were down 2 to 3 percent, led by a 18 percent drop in May sales from a year earlier by DaimlerChrysler AG and 5.8 percent drop by General Motors Corp.

Some automakers posted gains. Ford Motor Co. said its sales were up 1.1 percent, and import automakers as a group saw sales rise, although at a slower pace than the past few months.