Wholesale prices softened by 0.15% during the week going into the Fourth of July weekend.

However, why Black Book said it was “no surprise” values moved in that direction might not be fortuitous for either auctions or dealerships.

Analysts continued in the newest installment of Market Insights by saying, “with the exception of the compact and full-size van segments, all segments reported softening last week, leading up to the July 4th holiday weekend.

“In recent weeks, the sales rates at the auctions have been trending downward and dealer sentiment is that leads have softened, so it is no surprise that the overall market has now reported declines for two consecutive weeks,” Black Book continued.

On a volume-weighted basis, Black Book reported overall car segment prices decreased 0.11% last week, giving back nearly all of the 0.16% value rise cars generated a week earlier.

Analysts determined all nine car segments decreased last week, which meant the string of prices climbs for compact cars stopped at 14 consecutive weeks. Prices for those compact cars declined 0.11%.

Even values for subcompact cars edged 0.05% lower.

More notably in the car space, Black Book said a trio of high-line segments dropped in price, including prestige luxury cars (down 0.36%), luxury cars (down 0.25%) and premium sporty cars (down 0.23%).

Meanwhile, Black Book indicated its volume-weighted data showed overall truck segment values decreased 0.16%, piling on from the drop a week earlier of 0.11%.

Black Book pointed out that 10 out of the 13 truck segments sustained value decreases a week ago. But there’s a caveat.

“Supply is still tight in the compact and full-size van segments, which is evident in the wholesale trends for these vehicles, with values continuing to increase when the rest of the market is reporting stabilization and/or softening,” analysts said in the report.

Two truck segments paced the price declines with values for compact crossovers softening for the second week in a row (down 0.21%) and those gas thirsty full-size pickups dropping by double digits, too, with a 0.12% decrease.

Black Book rounded out its latest report by mentioning the estimated average weekly sales rate continues to drop and is now at 66%.

“The wholesale channels have remained consistent this week, with newer used vehicles continuing to be in strong demand. Some clean 2022 model year vehicles are popping up in the lanes with very low mileage, while model year 2023 vehicles are getting ready to come out,” analysts said.

“Buyers are in the lanes and are persistent, but the sellers are holding to their ground and not lowering their floors, therefore, sales rates have declined,” analysts continued. “Large independent dealers and rental companies were still making an appearance last week, making the competition for small and franchise dealers even higher.

“The vehicle segments continue to follow the prior week’s turn in going into negative territory,” Black Book went on to say. “While compact vans are still on the rise, compact cars joined the negative territory this week. We are slowly seeing a continual decrease in prestige luxury and luxury cars, full- and midsize crossovers, compact crossovers and minivans. We can expect this trend to continue until gas prices stabilize.”