While perhaps dealers might be seeing some instability at their stores, what they’re experiencing in the auction lanes appears to be the opposite based on what Black Book shared in its latest installment of the Market Insights report.
Editors found that value decreases last week for both cars and trucks both landed within 5 basis points of the four-week average.
“Overall depreciation of used vehicles is stable. While luxury cars depreciated steeply, sporty cars and pickup trucks retained strong values,” said Anil Goyal, executive vice president of operations at Black Book.
The report indicated that on a volume volume-weighted basis, overall car segment values softened by 0.43 percent last week. In comparison, the market values had decreased by 0.48 percent on average during the prior four-week period.
Among cars as Goyal referenced, the sporty car, premium sporty car and midsize car segments experienced the smallest drop, ranging from 0.05 percent to 0.26 percent.
Again looking at volume-weighted information, Black Book indicated overall truck segment values (including pickups, SUVs, and vans) dipped by 0.40 percent last week. That’s just 3 basis points away from the four-week average, which was 0.43 percent.
Within trucks, editors mentioned full-size vans, pickups and full-size crossover/SUVs posted the smallest declines with none of them topping 0.44 percent.
Moving on to what Black Book’s lane observers noticed at the 60 sales they attend each week, a variety of anecdotes surfaced. Here is the rundown from editors:
— From Florida: “Dealers here continue to voice complaints about sluggish retail sales. As for wholesale, the captive lanes did pretty well, but the dealer consigned lanes had a lot of no-sales.”
— From South Carolina: “As you might expect for this time of year, inexpensive vehicles were drawing the most attention.”
— From Illinois: “Midsize and small SUVs sold well and for good money. Trucks held their own as some ¾-ton trucks were actually up in price.”
— From Tennessee: “Both compact SUVs and small passenger cars were in demand and performed well.”
— Also from Florida: “We had more no-sales from the trucks this week. Most of the positive activity was from the rental and lease lanes.”