Depreciation over the first half of May has been more or less consistent with the trends we’ve observed over the first four months of the year.

To date, prices this month of vehicles up to eight years in age have dropped by 2.7% relative to April. That figure equals NADA’s forecast for the entire month. While it’s certainly possible for prices to move even lower in the coming weeks, the fact depreciation slowed from well above 3% in the first week of the month to its current rate suggests May will close with prices near current levels.

Across segments, trucks continue to outperform cars.

With prices falling by 3.4% and 2.7%, compact and mid-size car prices continue to be the softest among mainstream segments. However, the 2% drop in subcompact car prices is better than anticipated.

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Compact utility prices were down 2.6% over the first half of May, which is by far the steepest decline recorded for the segment since last October. Dropping by a combined average of 1.8%, mid-size utility and van losses are trending toward NADA’s expectations for the month, while the less than 1% slip in large pickup and SUV prices is consistent with the strength the pair has exhibited over the past several months.

Bigger luxury car prices remain some of the weakest in the industry. Luxury large car prices were cut by 2.5% over the first part of May, while prices for their mid-size car counterparts tumbled by a market-leading 4%. Prices for luxury mid-size utilities are down by a comparatively small 1.6% so far in May, while prices for luxury compact utilities ticked up by 0.4%.

Auction volume was down by 3% compared to the last two weeks of April, however, it was 5% higher than what was recorded over the first half of May last year.