Reaction to Ford's business update

|About: Ford Motor Company (F)|By:, SA News Editor

Ford's (F -7.2%) business update could prompt a rotation of investor funds out of the blue oval to General Motors (GM -3.4%), advises Buckingham Research.

Despite the automaker's many improvements amid a booming U.S. auto sector, it's clear analysts got ahead of themselves with their rosy projections on Ford and will now have to reset.

There's nothing official from Detroit, but the chatter flowing out of the Ford event is that CEO Mulally will stay on.

Sector watch: Though GM is down on the day, Japanese automaker are holding up just fine: Toyota (TM) +1.0%, Honda (HMC) +2.6%, and Nissan (NSANY) +2.6% in OTC trading.