Fiat Chrysler Automobiles NV on Tuesday posted a 12% rise in February U.S. auto sales, driven by a barrage of Presidents Day promotions and pent-up demand from a late-month blizzard in January that forced many East Coast buyers to delay purchases.

Analysts are forecasting a blockbuster month for U.S. new-car sales. Edmunds and TrueCar are predicting auto makers will post their highest February volume in more than 15 years, with the annualized selling rate expected to hit or exceed 17.5 million.

Fiat Chrysler sold 182,879 vehicles in January, compared with 163,586 for the month last year, extending the Italian-U.S. auto maker's sales gains streak to 71 months. Jeep brand sales shot up 23%, with the Cherokee, Wrangler, Patriot and Compass recording their best February ever. Dodge brand sales, meanwhile, picked up 12% with the Journey and Challenger also logging their best-ever sales for the month.

Low fuel prices, easy credit and improving U.S. employment are helping to keep new-car demand aloft, following six years of uninterrupted growth and a record U.S. sales year in 2015. With gasoline prices under $2 a gallon, sales of expensive trucks and sport-utility vehicles continued to drive gains for most auto makers. Edmunds.com says trucks and SUVs outsold cars for the 30th straight month and estimates light trucks made up 60% of the vehicles sold in February.

Still, investors have fled the sector of late, sending U.S. auto stocks falling amid worries the car market has peaked, and there are some red flags that underlying consumer demand is starting to soften. TrueCar estimates the industry's average incentive spending will climb 11% in February to nearly $3,000 per vehicle.

Ford Motor Co. is expected to post the biggest gain amid deeper discounting, according to analysts. Most other auto makers will also be up for the month with the exception of Volkswagen AG, which has halted sales of diesel cars because of an emissions-cheating scandal.

Write to Anne Steele at Anne.Steele@wsj.com and Christina Rogers at christina.rogers@wsj.com

(END) Dow Jones Newswires

March 01, 2016 08:25 ET (13:25 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.
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