Photo courtesy of Canadian Black Book
Canadian Black Book (CBB) reports that the Canadian used wholesale market has declined slightly compared to the week prior, but at a lower rate than the historical average for the same week. Used car prices have declined –0.14% overall, making this the third consecutive week of price declines. The Truck segment declined slightly as well (-0.12%). Full-sized vans saw the largest price increase for the second week in a row at +0.38%.
According to CBB, the industry continues to see an upward trend for used vehicles’ average listing price with the 14-day moving average surpassing $27,400, an approximate $150 increase from last week’s historical high.
Used active listings have dropped, as the 14-day moving average decreased to approximately 136,200 vehicles. Early April’s positive movement seems to be softening as all provinces now begin to reopen. The CBB Listing Volume Index dropped to 1.048, however the index continues to show that overall listing volume remains significantly higher than this time last year.
This week marks the third consecutive decrease for the Canadian wholesale market, as supply remains low with demand slightly lessening on both sides of the border. Conversion rates remain inconsistent, with a range of 26% – 72%. According to CBB’s report, sellers are setting floors higher than the current market will bear, further contributing to this week’s lower sell rates and values.
The U.S. market exchange rate remained relatively stable and continued to be favorable for exportation. The Canadian dollar value continues to hover around $0.80, ending the week at $0.795.
For the second time this year over 50,000 Chevrolet Bolts have been recalled, with GM advising owners to avoid parking their vehicles inside or charging them unattended overnight due to fire risk. In the U.S., overall car and truck segments have decreased for the fourth consecutive week.
