In October, the Manheim Used Vehicle Value Index reached a record high, but so too did gold. And, with a second round of quantitative easing and sovereign debt issues, exchange rates have been volatile. So it seems appropriate to update two charts that we last presented in October 2009 - namely, wholesale used vehicle values expressed in ounces of gold and in euros.
The story revealed last year has not changed. Used vehicle prices continue to fall when priced in ounces of gold. In October 2010, it cost a record low 8.43 ounces of gold to buy the typical used vehicle sold at auction. In July 2009, it would have cost you 2.6 pounds of gold to buy the typical wholesale used vehicle.
When measured in euros the average price of a used vehicle sold at U.S. auction in October 2010 was consistent with its average price over the past nine years.
