Click to Enlarge.
In the November 2018 Used Car and Light Truck Guidelines Industry Update, analysts at J.D. Power Valuation Services note that after decelerating in September, the used vehicle market slowed for the second consecutive month in October.
As a result, the Seasonally Adjusted Used Vehicle Price Index decreased by 1 point, relative to September, to 120.6. While not a discernible trend yet, it’s another warning that the auto market could be headed for a downturn.
Highlights
- Wholesale Prices Decline in October – down by an average of 3.1%
- Used Vehicle Price Index Slips – declines 1 point to 120.6
- New Vehicle Sales Inch Up – remain relatively flat, new vehicle SAAR reaches 17.46 million
- Incentive Spending Decline – for the second time since April 2015
“Wholesale prices of used vehicles up to 8 years in age declined by an average of 3.1% in October, which was right in line with the period’s previous five-year average decline of 3%,” said David Paris, Executive Analyst at J.D. Power Valuation Services. “As expected, there wasn’t any noticeable strengthening in wholesale prices for the October period due to hurricane replacement demand.”
J.D. Power Valuation Services (formerly NADA Used Car Guide) is a provider of vehicle valuation products and services to businesses. It collects and analyzes more than 1 million automotive and truck wholesale and retail transactions per month, and delivers a range of guidebooks, auction data, analysis and data solutions.
About Ken Zino
Ken Zino, editor and publisher of AutoInformed, is a versatile auto industry participant with global experience spanning decades in print and broadcast journalism, as well as social media. He has automobile testing, marketing, public relations and communications experience. He is past president of The International Motor Press Assn, the Detroit Press Club, founding member and first President of the Automotive Press Assn. He is a member of APA, IMPA and the Midwest Automotive Press Assn.
He also brings an historical perspective while citing their contemporary relevance of the work of legendary auto writers such as Ken Purdy, Jim Dunne or Jerry Flint, or writers such as Red Smith, Mark Twain, Thomas Jefferson – all to bring perspective to a chaotic automotive universe.
Above all, decades after he first drove a car, Zino still revels in the sound of the exhaust as the throttle is blipped during a downshift and the driver’s rush that occurs when the entry, apex and exit points of a turn are smoothly and swiftly crossed. It’s the beginning of a perfect lap.
AutoInformed has an editorial philosophy that loves transportation machines of all kinds while promoting critical thinking about the future use of cars and trucks.
Zino builds AutoInformed from his background in automotive journalism starting at Hearst Publishing in New York City on Motor and MotorTech Magazines and car testing where he reviewed hundreds of vehicles in his decade-long stint as the Detroit Bureau Chief of Road & Track magazine. Zino has also worked in Europe, and Asia – now the largest automotive market in the world with China at its center.
U.S. Used Vehicle Prices Drop for Second Consecutive Month
Click to Enlarge.
In the November 2018 Used Car and Light Truck Guidelines Industry Update, analysts at J.D. Power Valuation Services note that after decelerating in September, the used vehicle market slowed for the second consecutive month in October.
As a result, the Seasonally Adjusted Used Vehicle Price Index decreased by 1 point, relative to September, to 120.6. While not a discernible trend yet, it’s another warning that the auto market could be headed for a downturn.
Highlights
“Wholesale prices of used vehicles up to 8 years in age declined by an average of 3.1% in October, which was right in line with the period’s previous five-year average decline of 3%,” said David Paris, Executive Analyst at J.D. Power Valuation Services. “As expected, there wasn’t any noticeable strengthening in wholesale prices for the October period due to hurricane replacement demand.”
J.D. Power Valuation Services (formerly NADA Used Car Guide) is a provider of vehicle valuation products and services to businesses. It collects and analyzes more than 1 million automotive and truck wholesale and retail transactions per month, and delivers a range of guidebooks, auction data, analysis and data solutions.
About Ken Zino
Ken Zino, editor and publisher of AutoInformed, is a versatile auto industry participant with global experience spanning decades in print and broadcast journalism, as well as social media. He has automobile testing, marketing, public relations and communications experience. He is past president of The International Motor Press Assn, the Detroit Press Club, founding member and first President of the Automotive Press Assn. He is a member of APA, IMPA and the Midwest Automotive Press Assn. He also brings an historical perspective while citing their contemporary relevance of the work of legendary auto writers such as Ken Purdy, Jim Dunne or Jerry Flint, or writers such as Red Smith, Mark Twain, Thomas Jefferson – all to bring perspective to a chaotic automotive universe. Above all, decades after he first drove a car, Zino still revels in the sound of the exhaust as the throttle is blipped during a downshift and the driver’s rush that occurs when the entry, apex and exit points of a turn are smoothly and swiftly crossed. It’s the beginning of a perfect lap. AutoInformed has an editorial philosophy that loves transportation machines of all kinds while promoting critical thinking about the future use of cars and trucks. Zino builds AutoInformed from his background in automotive journalism starting at Hearst Publishing in New York City on Motor and MotorTech Magazines and car testing where he reviewed hundreds of vehicles in his decade-long stint as the Detroit Bureau Chief of Road & Track magazine. Zino has also worked in Europe, and Asia – now the largest automotive market in the world with China at its center.