GM (NYSE:GM) Offering More Incentives to Keep Momemtum Going

The latest gimmick by General Motors (NYSE:GM) to generate sales is to offer interest-free financing to its customers on certain vehicles.

It appears GM is playing chicken with its competitors, as Ford (NYSE:F) has stated they won't enter into the incentive game at the expense of margins and earnings.

General Motors is grabbing headlines now for sales, but the question is will they want the accompanying headlines that will come from the low margins and earnings they experience in the quarter.

Leading is sales is irrelevant when it comes with far less earnings, although it does provide a nice story temporarily.

Vehicles included in the interest-free financing include the Malibu sedan, HHR wagon, Traverse sport-utility vehicle, and Silverado, Colorado, Avalanche pickups and the Chevrolet Impala sedan.

General Motors closed Wednesday at $32.88, down $0.07, or 0.21 percent.