January’s strength gave way to weakness in February, as most segments of the medium duty market returned notably lower pricing.

 

Starting with Class 3-4 cabovers, February’s average pricing came in at $14,194. This figure is $4,878 (25.1%) lower than January, and $7,535 (34.1%) lower than February 2017. Volume was moderately higher than January, but there are no obvious factors explaining the decrease. We still see more strength than weakness in the cabover segment going forward.

 

Class 4 and Class 6 trucks both sold in much greater numbers in February compared to January. Both segments returned notably lower pricing. Class 6 trucks depreciated enough to lose ground to Class 4’s.

Specifically, Class 4’s averaged $20,290 in February. This figure is $3,234 (13.7%) lower than January, and $4,148 (17.1%) lower than February 2017. Class 6’s averaged $20,057 in February. This figure is $4,255 (17.5%) lower than January, and $1,143 (5.4%) lower than February 2017.

The primary factor behind the lower Class 6 pricing appears to be much higher volume. This segment can be impacted by rental fleets liquidating equipment, and it appears February was one of those months. This lower pricing potentially trickled down to lighter GVW’s.