Economic Update

Our good friend, John Ellis, released his economic update, and we grabbed a few key thoughts to share. Enjoy!

🚗 UAW Strikes & GM:

• GM's 2,000 workers layoff due to strikes.
• UAW is ready for a showdown.
• Biden's team is in Michigan to help.

🆕 New Cars:

• Strikes likely push up new car activity.
• Prices dip = more affordability!
• Stock? 60 days, down from 2019's 80.

🔄 Used Cars:

• Sales are rising.
• Inventory: Down to 40 days.
• Stable prices, but watch for shifts.
• Less 5-year-new inventory soon.

📊 Wholesale:

• Extended strikes can speed up trends.
• MMR vs. Black Book: Both offer insights.

💹 Buy/Sell:

• MMR index dances with the retail index.
• Sales price nears wholesale.
• A few quarters back, buying cost > selling.

🔍 Wisdom:

• It's a tricky market!
• Right data = success.
• Big margins mean tough competition.

No matter the market, everyday is a good day to keep your mind on the data and your eyes on your goals. Thanks John for sharing such good info!