BEIJING — China's auto sales rose 9 percent in June despite a slowing economy as buyers rushed to beat possible limits on car registrations aimed at curbing traffic.

Automakers sold 1.58 million cars, trucks and buses during the month, the China Automobile Manufacturers Association, a government-sanctioned industry group, said.

The figures are a bright spot in a Chinese economy that has seen industrial activity and retail sales growth slow in recent months. Automakers are looking to China, the biggest market by number of vehicles sold, to help drive weak global demand.

June sales were driven by price cuts and concern about restrictions imposed by some cities on registrations to control traffic congestion.

In the southern city of Guangzhou, near Hong Kong, buyers rushed to dealerships last month after the local government imposed limits on new registrations, effective July 1.

Beijing has encouraged auto sales and the growth of the industry but that has left major cities chocked in traffic and smog.

WASHINGTON — Fitch Ratings kept its top 'AAA' credit rating on the U.S., but it also left the outlook negative, citing the failure of Congress and the administration to get an agreement on reducing the budget deficit.Fitch said that uncertainty over federal tax and spending policies related to the so-called fiscal cliff “weighs on the near-term economic outlook” and raises the prospect of another recession.A massive budget showdown could begin after the elections in November and stretch well into next year, despite the threat of the fiscal cliff — $500 billion in impending tax increases and spending cuts.

NEW YORK — J.C. Penney workers are feeling more pain as the department store chain struggles with a transformation.More than five months into big changes under its new CEO, Penney announced Tuesday that it's laying off another round of workers at its headquarters in Plano, Texas. The 350 workers being cut were primarily in finance, technology, product development and sourcing. The latest layoffs mean Penney has slashed its headquarters workforce nearly 30 percent, to 3,100 employees, since spring.

MADRID — Spain’s government imposed further austerity on the country today as it unveiled sales tax hikes and spending cuts aimed at shaving $79.85 billion off the state budget over the next 30 months.A day after winning European Union approval for a huge bank bailout and breathing space on its deficit program, Prime Minister Mariano Rajoy warned Parliament that Spain’s future was at stake as it grapples with recession, a bloated deficit and investor wariness.“We are living in a crucial moment which will determine our future,” said Rajoy.The moves include a wage cut for civil servants and members of the national parliament and a new wave of closures at state-owned companies. Spain will also speed up a gradual increase in the retirement age from 65 to 67.