VP, Editorial and Consulting
ALG’s September/October report saw leasing residual values declining 1.6 percentage points (ppt) below the July/August report. That was lower than the expected 1.7-ppt decline. On the macro-economic front, the real durable goods spending forecast is up, with a +0.2-ppt impact on residual values; overall macro impact is up +0.1-ppts from the previous edition. Gasoline prices were nearly unchanged, which meant no vehicles had significant residual changes relating to gas prices.
Incentive Spending Was Up $44 Over Previous ALG Edition:
Rental fleet penetration was 10.9%, had zero percent impact on 36-month residual.
Used Vehicle Supply Forecast Rose for this Edition:
That caused a –0.1-ppt impact on residuals.
Segment Supply Had a –0.05-ppt Impact on Residual Values:
Segment supply changes varied, ranging from -0.2 ppts for Premium Sport, Premium Executive, and Midsize Commercial to +0.05 ppts for Premium Fullsize Utility