Volume-weighted, overall car and truck segments both experienced continued softening in values, decreasing by 0.38%. However, these overall values are slightly higher than seasonal norms of the last three years, which averaged around -0.75% between 2017 - 2019.
As for specifics, overall car segment values decreased 0.48%, an increase from the depreciation of 0.31% experienced the week prior.
Fuel prices continue to be at low levels and that coupled with the change in consumer preferences away from cars is taking its toll on the sub-compact car segment. This past week, the segment saw values decline for a fourteenth week in a row, for an average weekly rate of decline of 0.71%.
Also, the luxury segments started to see increases in weekly depreciation rates two weeks ago and the trend continued this past week.
When volume-weighting is applied, the overall truck segment (including pickups, SUVs, and vans) values declined 0.38%, a slight increase in depreciation compared to the previous week’s change of 0.35%.
As with the car segments, the fuel-efficient sub-compact crossover segment was also the largest decliner of the truck segments at a rate of 0.88%. The similarities with the sub-compact car segment continue, with the declines now being consistent for 14 weeks and averaging 0.71% per week.
Another segment seeing large declines due to low fuel prices are the small pickups. Supply has increased in recent years after Ford and GM returned to the segment, and this increase in supply coupled with low fuel prices is pushing prices lower week-after-week. The declines started 13 weeks ago and average 0.51% per week.