Black Book’s lane watcher stationed at a sale in Pennsylvania succinctly summed up the dealer and wholesale price activity contained in the firm’s latest Market Insights report.
The Keystone State representative said, “The auction is simply not as active as it was just a couple of weeks ago.”
Editors noticed wholesale prices for both cars and trucks softened at greater rates last week than they had on average during the previous four weeks.
Volume-weighted, Black Book indicated overall car segment values decreased by 0.36% last week. In comparison, editors said market values for cars had decreased by 0.22% on average during the prior four-week period.
Among cars, editors reported values of prestige luxury cars, and full-size cars decreased the most, sliding by 0.63% and 0.62%, respectively.
Again looking at volume-weighted data, Black Book found that overall truck segment values (including pickups, SUVs and vans) decreased by 0.16% last week. Truck market values ticked down by 0.07% on average during the previous four weeks.
Values of sub-compact crossovers and sub-compact luxury crossovers declined the most as editors pinpointed the drops at 0.65% and 0.67%, respectively.
“The overall depreciation rises as buyer interest wanes a little after a strong spring market. Trucks are retaining values better than cars,” Black Book executive vice president of operations Anil Goyal said.
The latest report also included observations from other parts of the country since Black Book attends nearly 60 sales each week. The other anecdotes included:
— From South Carolina: “Cars in the rental lane were getting more interest than the SUVs and trucks due to the more aggressive floor prices on those units.”
— From Michigan: “The supply challenge continues with auction inventory being down along with fewer trades coming in.”
— From Tennessee: “The number of buyers bidding is below normal. The higher price vehicles are hard to sell creating opportunities for the smaller size SUVs.”