NADA: What to Expect in Q1, Galves: What Drove Market in 2015 January 22, 2016
Banks_Jonathan


December Prices Drop After a Very Strong Year

Jonathan Banks
Executive Automotive Analyst
NADA Used Car Guide

NADA Used Car Guide’s seasonally adjusted used vehicle price index fell by 1.6% from November to 122.4, and dropped nearly 2% below last December’s level. That was a much steeper fall for December than the 0.5% decline averaged for that same month over the previous five years. It also marked the second weakest month since 2003. Nearly every segment had steeper losses than those of the past few years. Overall, 2015 was one of the strongest years on record – down just 0.3% from the all-time high averaged in 2014.

Here’s the January edition of Guidelines

Luxury Mid-size Cars and Compact Cars Had Largest Declines with Both at 2.2%:
Mid-size utility and luxury large cars did best at slightly less than 1% in price declines.

Auction Volume of Vehicles Up to 8 Years Old Fell by 2% Over 4 Weeks Ending December 21 from Prior 4 Weeks:
Compared to same period of previous year, auction volume was 6% higher.

Price Forecast: Vehicles Up to 8 Years Old Up 0.5% for January over December:
Prices should be up about 1% per month in February and March.
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Galves_Dan2


Falling Fuel Prices and Good Demand Set Pace for 2015

Dan Galves
Editor
Galves Auto Price List

The falling price of fuel and generally good demand among consumers and dealers throughout the year pretty much set the pace for an unusual year in the U.S. used vehicle market. Full-size SUVs and pick-ups showed the most strength in the spring market and throughout the year – showing more stability than other segments for the year overall. The Chevrolet Tahoe SUVs and Silverado pick-ups and comparable Ford Explorers and F150s did not fall at all through the spring and dropped less than 5% depreciation for the year.

Here’s 2015 - The Year in Review from Galves Auto Price List

European and Asian Luxury Vehicles Saw Most of the Instability in the Market:
Luxury SUVs fared better, perhaps more favorably impacted by low cost of fuel.

Value of Diesel and Gasoline Versions of Same Vehicle Merged During the Year:
How much can be attributed to low fuel prices and how much from spillover from VW diesel situation is questionable.

Low Gasoline Prices Hit Hybrids and SUVs the Hardest in Used Vehicle Values:
Cars like Nissan Leaf and Chevrolet Volt Were Down 30% to 40% during the year.
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Expert Video Recap
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Kontos Kommentary_Dec 2015
Kontos Kommentary — December 2015 Edition

Tom Kon­tos, EVP, Cus­tomer Strate­gies and Ana­lyt­ics at ADESA, pro­vides insight and updates regard­ing used vehi­cle mar­ket conditions.

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GM buying Sidecar
GM Investment in Sidecar Could Sideline Uber

GM just invested in its sec­ond rideshar­ing com­pany in Side­car, which sup­ports its recent invest­ment in Lyft to com­pete with Uber.

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