Both Black Book and Cox Automotive released their monthly wholesale indices for May in recent days, each remarking how some stabilization arrived in the space when compared to the COVID-19 induced turbulence seen in April.
Cox Automotive reported wholesale used-vehicle prices---on a mix-, mileage- and seasonally adjusted basis---increased 8.96% month-over-month in May, a movement that brought the Manheim Used Vehicle Value Index to 137.0, a 1.9% decrease from a year ago.
Over at Black Book, analysts said their Used Vehicle Retention Index for May came in at 106.0, marking a 0.7-point dip from April’s reading of 106.7.
Cox Automotive analysts explained Manheim Market Report (MMR) prices improved over the last four weeks, resulting in a 5.1% cumulative increase.
Analysts also noticed MMR Retention---which they explained to be the average difference in price relative to current MMR---was greater than 100% in all but three days in May and averaged 101.7% for the month.
“The MMR Retention trend reflected that vehicles were selling above current MMR values and was a clear reversal of what happened in late March and April,” Cox Automotive said in its report that accompanied the latest Manheim index update.
On a year-over-year basis, Cox Automotive determined each of the major market segments saw seasonally adjusted price declines in May. Minivans led the way with a drop of 8.3%, followed by midsize cars (down 7.4%) and compact cars (6.9%.)
Analysts said pickup prices slid 4.1% while prices for SUVs and CUVs mimicked the overall reading at 1.9%. Only luxury vehicles softened less than the overall reading as prices for those units edged down by 0.6%.
Cox Automotive also mentioned pricing for rental risk vehicles.
Analysts determined the average price for rental risk units sold at auction in May was down 5.3% year-over-year but were up 6.4% compared to April.
Cox Automotive added the average mileage for rental risk units in May (at 46,300 miles) rose 2% compared to a year ago but declined 10% month-over-month.