On the Dash:
- Wholesale used-vehicle prices edged higher in May, rising 3.6% year over year.
- Used EV prices surged 11.9% annually, driven by sustained high gas prices.
- Compact cars posted their strongest gains of 2026, up 12.3% since December.
Wholesale used-vehicle prices continued to rise in May, though at a more modest pace than earlier in the year. The Manheim Used Vehicle Value Index (MUVVI) reached 212.6 for the full month, up 3.6% from a year ago and 0.3% from April on a seasonally adjusted basis. However, the month-to-month gain is below the typical 0.9% increase seen in May.
Non-adjusted wholesale prices fell 1.2% against April and are up 3.1% year over year, consistent with normal May depreciation patterns.
EVs remained the strongest-performing segment by a wide margin. The Manheim EV Index rose 11.9% year over year and 3.5% from April, while the Non-EV Index was up 3% year over year and flat month over month. Gas prices, which are about 38% above year-ago levels, continue to push buyers toward used EVs at auction.
Compact cars were the second-strongest segment, posting gains above the industry average for the first time in 2026. On a non-seasonally adjusted basis, compact car values are up 12.3% since December, the highest gain of any major segment. SUVs were the weakest performers.
Sales conversion came in at 59.9% for May, 4 percentage points above the three-year average for the month but down 3 points from April. MMR retention averaged 99.5%, up 0.4 points year over year and down 0.2 points from April, falling less than is seasonally typical. Wholesale days’ supply rose to 26 days at month’s end, up 1 day from both a year ago and from April.
“The big picture shows good balance in supply and demand, with days’ supply sitting at pretty seasonal levels, even if it remains a bit below last year,” said Jeremy Robb, Chief Economist at Cox Automotive, in the May MUVVI report.
Looking ahead, Robb flagged off-lease EV supply as a potential pressure point in the second half of the year. Compact cars and affordability-driven demand in older, lower-priced vehicles are trends worth monitoring as dealers head into summer sourcing.
