Critical Shifts:
-
Overall Easing: Wholesale market depreciation moderated slightly to -0.45% (compared to -0.48% the prior week), driven by slowing value losses across trucks and SUVs.
-
Luxury Drop Accelerates: Luxury car depreciation plunged to -0.61%, marking the segment's largest single-week decline since last November.
-
Sub-Compact Bounce-Back: 0-to-2-year-old sub-compact cars (+0.15%) and sub-compact crossovers (+0.12%) broke long decline streaks to post modest gains.
-
Selective Auction Demand: Buyers favored clean, late-model passenger cars and hybrids/EVs, while mainstream pickups, SUVs, and compact crossovers (-0.68%) faced heavier pricing pressure.
___________________________________________________________________
Black Book Market Insights showed overall wholesale market declined -0.45% during the week of July 20, an improvement from the prior week’s -0.48% decrease, as truck/SUV depreciation moderated while car segment declines accelerated slightly. Auction activity remained selective, with the strongest demand centered on clean, late-model passenger cars and hybrid/electrified vehicles, while mainstream SUVs, crossovers, and pickups continued to face pricing pressure.
Car Segments
- On a volume-weighted basis, the overall car segment decreased -0.43%. For reference, in the previous week, cars decreased -0.39%.
- The 0-to-2-year-old car segments were down -0.31% and 8-to-16-year-old cars decreased -0.20%.
- All nine 2-to-8-year-old car segments declined last week, compared with eight of nine segments in both the 0-to-2-year-old and 8-to-16-year-old categories.
- After ten weeks of depreciating at a slower pace than the overall market, the luxury car segment saw depreciation accelerate to -0.61% last week, marking its largest single-week decline since November of last year.
- After eleven consecutive weeks of declines, the 0-to-2-year-old sub-compact car segment returned to positive territory last week, posting a modest +0.15% gain. Depreciation also eased among 2-to-8-year-old models, which declined -0.11% compared with -0.46% the previous week.
Truck / SUV Segments
- The volume-weighted, overall truck segment decreased -0.46% compared to the decrease seen the prior week of -0.51%.
- The 0-to-2-year-old models saw an average decrease of -0.37% and the 8-to-16-year-old models experienced an average decrease of -0.37%.
- All thirteen 2-to-8-year-old truck segments posted declines last week, while only one segment in the 0-to-2-year-old category posted a gain and declines across all 8-to-16-year-old segments.
- Similar to the sub-compact car segment, 0-to-2-year-old sub-compact crossovers posted a modest gain last week, rising +0.12%. While the 2-to-8-year-old and 8-to-16-year-old segments continued to depreciate, both recorded smaller declines than the previous week.
- Unlike sub-compact crossovers, the compact crossover segment saw depreciation accelerate last week, declining -0.68% compared with -0.31% the previous week. Despite the sharper decline, the segment has averaged a more moderate -0.36% weekly depreciation over the past eight weeks.
