Mannheim June used car price index falls by 4.2%.

<p>The Mannheim June used-vehicle price index drops:</p><ul><li>Wholesale used-vehicle prices decreased 4.2% in June from May, making the Manheim Used Vehicle Value Index (MUVVI) decline to 215.1, down 10.3% from a year ago.</li><li>The 4.2% drop in the MUVVI is among the largest declines in the index's history and the largest since the start of the pandemic.</li><li>Year-over-year decline in June was 2.7% drop from May’s annualized 7.6% decline.</li><li>The non-adjusted price change in June decreased by 3.8% compared to May, moving the unadjusted average price down 10.1% year over year.</li><li>Over the last four weeks, the Three-Year-Old Index declined an aggregate 3.8%.</li><li>The average daily sales conversion rate declined to 52.2%, which was below normal for the time of year. For context, the daily sales conversion rate averaged 60.7% in June 2019.</li><li>Major market segments saw seasonally adjusted prices that remained lower year over year in June. Pickups and vans lost less than the industry, at 6.6% and 8.5%, respectively, while sports cars fared the worst at 14.8% year-over-year.</li><li>Used-vehicle retail sales in June were down 4.0% compared to May but saw the year-over-year comparison with 2022 improve. Used retail sales are estimated to be down 6.0% year over year in June.</li><li>June’s total new-light-vehicle sales were up 19.9% year over year, with the same number of selling days as June 2022. By volume, June new-vehicle sales were up 0.5% month over month.</li><li>Combined sales into large rental, commercial, and government fleets increased 45% year over year again in June.</li><li>The average price for rental risk units sold at auction in June was down 2.5% year over year. Rental risk prices were off by 4.5% compared to May.</li></ul><p>US CPI will be released on Wednesday. Used car prices have been a contributor to core-CPI remaining elevated. The core-CPI Friday is expected to show a rise of 0.3%. That is down from 0.4% last month. The year-on-year is expected to come in at 5.0% – still well above the 2% target</p>

This article was written by Greg Michalowski at www.forexlive.com.