Tom Webb
Chief Economist
Manheim Consulting
Wholesale prices rose in July, the 2nd straight monthly increase, even in the face of higher supplies. That comes from strong dealer demand and low new vehicle inventory levels for certain models. Dealer demand is expected to continue, supported by ready availability of retail credit. Wholesale prices are still expected to moderate in the latter part of the year. In July, the index – 120.9 – was down 0.2% from its year-ago level.
Manheim Used Vehicle Value Index for July 2013
In Q2, Same-Store Used Retail Unit Volumes Increase for 16th Consecutive Quarter:
Magnitude of increase (+13.2%) was largest since Q2 2010.
Rental Risk Unit Prices Increased in July when they Usually Decline:
Result of richer mix within market classes and hot market for late-model used vehicles.
Pickups Have Been Strongest Segment but Saw Pull Back in July:
Supplies increasing in market, but still a shortage of late-model, low-mileage units.
