Analysts from J.D. Power Valuation Services say that U.S. wholesale volumes of used vehicles ground to a virtual halt in March due to Stay-at-Home Orders; and are down -12.3% through March year-to-date.
“Our current outlook calls for used prices to fall by 7% through June 2020 before we see any recovering,” said David Paris, executive analyst at J.D. Power Valuation Services.
“The outlook is based on macro-economic expectations, specifically that the country will experience significant job losses through the second quarter. Currently, our forecast has prices falling by 1.7% on a full-year basis versus 2019,” Paris said.
Major findings in the free monthly report:
- Used vehicle auction activity has continued to slow in April 2020. Through the week ending April 5.
- Wholesale prices increased 1.4% in March versus February 2020
- Auction prices fell a further 2.6% the week ending April 5
- Used vehicle values are expected to trend down through June 2020
Download the free April 2020 Used Car and Light Truck Guidelines Plus Industry Update. J.D. Power Valuation Services (formerly NADA Used Car Guide) is a leading provider of vehicle valuation products and services to businesses. The team collects and analyzes more than 1 million automotive and truck wholesale and retail transactions per month, and delivers a range of guidebooks, auction data, analysis, and data solutions.