There has been a recent bounce in US used vehicle prices that would have been concerning to Fed officials that are fretting about inflation. However some of that bounce was unwound in the latest data with the Manheim used vehicle index down 3.0% m/m in April and 4.4% y/y.
“While values increased 8.6% through the first quarter from December, the market has reversed course in April, with our monthly figures showing a month-over-month decline for the first time in 2023,” said Chris Frey, senior manager of Economic and Industry Insights for Cox Automotive. “Values in April also continue to be lower year over year. We’ve experienced eight straight months of year-over-year declines, averaging 8.3%, and it’s likely not over yet."
Note that the numbers are seasonally adjusted.
