The unofficial start of summer is just ahead with Memorial Day weekend coming, but the wholesale market is still seeing a few signs of the spring market.
This week’s Market Insights report from Black Book indicated that the spring market has been persistent through the middle of May.
“Prices remained stable for a second consecutive week, retaining the spring season strength while luxury vehicles dropped further,” Black Book executive vice president operations Anil Goyal said in the latest report.
Based on volume-weighted information, editors noticed overall car segment values decreased by just 0.05% last week. In comparison, these market values had increased by 0.09% on average during the prior four-week period.
Among cars, Black Book reported values of luxury cars decreased the most, sliding by 0.78%.
Again looking at volume-weighted data, editors determined overall truck segment values (including pickups, SUVs, and vans) decreased by just 0.02% last week. Like cars, Black Book mentioned truck values edged 0.09% higher on average during the previous four weeks.
Within trucks, values of full-size luxury crossover/SUVs declined the most, dropping by 0.59%.
Next, Black Book shared anecdotes its representatives collected at nearly 60 sales nationwide. The rundown began with what an auction general manager in Pennsylvania told Black Book.
“Late model, off-lease units remain very hot. Dealers are clamoring for those low mileage, clean, retail ready vehicles that are in short supply,” the auction GM in the Keystone State said.
The other observations included:
— From Florida: “The sale was up and down with the result being more no-sales. The bank repossessions had the highest sales percentages.”
— From South Carolina: “Prices remain fairly stable and auction reports sales conversions around 65%. The smaller passenger vehicles continue to bring strong money.”
— From Massachusetts: “More franchised dealers were bidding and buying today, which may indicate further softness in new-vehicle sales. They are buying late model used vehicles at auction.”