Black Book: Spring Market Bounce

By Staff Writer May 11, 2022

The market continues to follow a new path of seasonality with the overall market having another week of increases last week, according to Black Book Market Insights.

Traditionally, by this time of year the industry would have started to see the spring market bump reverse and turn cars back into depreciating assets, but not this year, as cars continue to rise, Black Book reported.

The Used Retail CY22 trend line has been closely following the CY20 trend line but is now interacting with the CY19 line. Some have speculated that there may be a spring market bounce since income tax returns have been delayed.

After being mostly absent over the last 2 years, repossessions are starting to show up more often in lane.

Smaller independent dealers and rental companies continue to dominate the lanes with larger independent dealers jumping in when lower mile or cleaner vehicles come through.

  • On a volume-weighted basis, the overall Car segment increased +0.31%. For reference, the previous week, cars increased by +0.38%.
  • Seven of the nine Car segments increased last week.
  • Sub-Compact Cars (+0.71%) have been increasing for the past eight weeks, but last week’s increase was the largest seen since before Thanksgiving last year.
  • The Sporty Car (+0.23%) segment gained additional strength this past week, after the prior week’s minimal increase of +0.06%.
  • Premium Sporty (-0.29%) and Near Luxury (-0.01%) were the only Car segments to report declines.
  • The volume-weighted, overall Truck segment increased +0.05%, compared to the prior week’s decrease of -0.02%.
  •  Seven out of the 13 Truck segments reported increases.
  • Compact Van (+0.81%) and Minivan (+0.72%) segments were the largest gainers last week. Surprisingly, the Full-Size Vans slowed down from the record streak of increases, but only by a small -0.01% decline. This negative adjustment is not expected to continue as a trend for the segment due to supply remaining low.
  • Full-Size Trucks have slowed their pace of declines in recent weeks, with last week’s decline being -0.02%, after the previous week’s decline of -0.13%.
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Last modified on Tuesday, 17 May 2022 14:35