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Here is the latest used car market report from Black Book. Each week as we look at the most recent overall market changes, we are trying to identify any movements or consistencies in the market that will support the dealers, lenders and remarketers in their next steps in business. Is there a segment showing strength or weakness or a changing trend? This past week we saw a continuing climb in gas prices, now totaling an increase of $.08 per gallon over the past two weeks and narrowing the difference to only $.11 under the price one year ago. Is there a correlation of gas price increases to the market movement? Within the car segments, the most economical segment, the Entry Level Cars, actually had the largest declining movement this past week at a change of -$59. For the fourth consecutive week all ten car segments declined with an average change of -$40 and the most recent three week average change of -$41. The car market segments are all reaching pretty similar levels with the segment variance pretty narrow, now at only $36 from the -$59 of the Entry Level Cars to the low market change of -$23 for the Premium Sporty Cars.
There was more week over week movement within the truck segments. From an average segment change of -$24 this past week we were down to only one segment increasing, the Mid-size Pickups at +$21. This segment has held positive weekly changes for the past four weeks and for nine of the past ten weeks. This is interesting market movement as several of the included models within the Mid-size Pickup segment have now left the new market offerings in the past year.
We continue to watch the late models that are closest to competing against the new model sales. These get mentioned the most when the topic of no sales appears. And as one commercial remarketer said to me this past week, there is another model year coming in just a few months, so what’s not expected here. As a survey reporter in Tennessee commented that buyers are being selective, another report from Nevada said, ”and quality sells”. And as we all know, it will bring a premium, no matter the overall market trending.