Cox Automotive News
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Amid economic and market uncertainty, coupled with the looming presidential election, the Q2 Cox Automotive Dealer Sentiment Index, released yesterday, reveals that most U.S. automobile dealers perceive the current market as weak. Market expectations declined, showing more dealers also expect a weak market in the months ahead, a trend commonly seen in the second quarter.
In the Auto Market Report published this morning, Jeremy Robb, senior director of Economic and Industry Insights, noted, “While consumers have been hopeful, interest rates remain really high and have not yet shown signs of coming down. Consumer sentiment is volatile but did pick up over the last week.” Any improvement in sentiment could be temporary, though, as the coming election season may be a roller coaster for many.
Average transaction prices for new vehicles were statistically unchanged month over month and lower year over year for the eighth consecutive month, according to Kelley Blue Book estimates. While higher inventory levels are holding down overall prices, average industry prices are being pushed higher, in part, by expensive, high-volume models such as full-size pickup trucks.
Meanwhile, according to the Manheim Used Vehicle Value Index, wholesale used-vehicle prices were down in May compared to April, which is seasonally normal. This measure is recognized by both economic and financial analysts as the premier indicator of pricing trends in the used-vehicle market.
We hope you find this selection of articles informative and helpful. Visit the Cox Automotive Newsroom for the latest on the industry’s most important topics. Bookmark the Auto Market Snapshot, a one-stop dashboard for the data our team is tracking.
