...Black Book reports that both the new and used vehicle markets are realizing positive growth levels with regard to volume and used value retention since the low point of 10.3 million new vehicle sales in 2009, resulting in increasing depreciation rates every year since 2011. Black Book expects new vehicles sales will finish above 16.0 million units in 2014 and at least 16.5 million in 2015. Black Book believes annual depreciation levels on used vehicles will begin to trend more in line with pre-recession historical rates in 2014 to over 13% annually, rising above the rate recorded in 2013, and climb further to 15.0% in 2015. As depreciation rates rise in 2014, Fitch expects asset performance in auto asset-backed securities (ABS) will continue to moderate, but losses are expected to be well within or at Fitch's initial loss expectations. Credit losses in auto loan ABS are expected to marginally increase in 2014 as depreciation picks up and recovery rates soften. Despite this, used vehicle...
