Bank of America’s latest analysis indicates that used equipment values remained stable in July, reflecting consistent demand in industrial and manufacturing segments. The assessment, based on internal data and market trends, suggests that depreciation pressures have eased compared with earlier in the year.
The stability in valuations comes amid broader economic uncertainty, including concerns over inflation and supply chain disruptions. Analysts at Bank of America noted that sectors such as construction, agriculture, and transportation equipment showed resilience, with no significant declines in resale prices.
Used equipment markets often serve as a barometer for industrial activity, as businesses weigh the cost of acquiring new machinery against the affordability of second-hand assets. The data implies that buyers and sellers are finding a balance, avoiding the sharp corrections seen in some other asset classes during the first half of 2024.
The report did not specify whether the stability extended across all equipment types or geographic regions. However, it aligns with recent reports from other financial institutions that have observed cautious optimism in capital expenditure plans among mid-sized industrial firms.
