The ADESA Canada Used Vehicle Price Index maintained its stability in June, improving slightly from May. According to officials, auction prices were higher than seasonal expectations. Normally values are expected to decline between May and June, but ADESA’s data, which is powered by ALG Canada, indicated that the index climbed roughly 0.6 percentage points from May (seasonally adjusted).
The index has increased significantly from December 2008, thanks to strong improvements from January through March and continued stability since April. The segment that showed the largest year-over-year decline was mid-size cars, dropping by 5.6%. Compact SUV’s dropped 2.6%, mid-compacts were down 1.3% and minivans fell 0.9%. Interestingly, full size pick-ups showed only 0.5% depreciation, while gas prices climbed 37%, from December to mid-June. But in May, pick-ups fell 4.8% and this trend is expected to continue as gas prices peak through the summer months. (LB)
