Following a steep 12.9% month-over-month decline in pricing from January to February, the average retail selling price of a 3-5 year old aerodynamic sleeper tractor decreased a minimal 2.3% in March. This result means monthly depreciation averaged 7.6% in the first quarter of 2016 – higher than our estimate of 4-5%. We estimate prices decreased incrementally - on the order of 2.5% - from March to April.

Year-over-year, retail selling prices in the first quarter of 2016 were 14.7% behind the same period of 2015.

Looking at individual models, there was a move towards the average in March, with the exceptions of the Freightliner Cascadia and Volvo 730/780. In the case of the Cascadia, the influx of off-lease units appears to have peaked in December of 2015, and April’s volume was notably low compared to recent months. As such, it is possible that this model is seeing a mild improvement based on moderating supply. As for the Volvo 730/780, this has not been a particularly high-volume model, and retail pricing continues to reflect that positioning. The International ProStar’s average suffers for yet another month due to no 2014 models reported sold – so there are no three-year-old models included in this model’s average. See graph below for detail.

Retail pricing continues to decrease, but buyers are entering the market in incrementally greater numbers.