According to the September Used Equipment Trends report from Iron Solutions, the under 100 horsepower used tractor price index rose an unprecedented 5 points in August.
The report stated the following:
We have come to expect choppiness in the index value of the small tractor (utility and compact) segment. But even here, movement of 5 points is unprecedented. Data from August pushed this number to 77% a full 5.1 points higher than the previous all-time-high of 71.9% just a month ago.
Another unusual observation is that, typically, spikes in this segment are in the Fall and Spring. To see a spike in August is unusual. The cumulative increase in the last 3 months is just shy of 10 percentage points.
The report also said this increase is counterintuitive to the 0% financing on new equipment seen in the under 100 horsepower tractor segment.