05/29/2026
Dealer sentiment positive in Q2 despite economy, political concerns. Dealers felt positive about their business and the road ahead in the second quarter even as the economy and political climate weighed on more retailers, according to the latest quarterly Cox Automotive Dealer Sentiment Index survey.
“The conditions for selling are average,” a Jeep dealer in the South told Cox in the poll of 502 franchised dealership professionals and owners conducted from April 21 to May 4. “Rates are OK, but not amazing. Lots of people can’t trade due to negative equity or debt-to-income [ratio] too high.”
Dealers rated their overall markets a slightly favorable 53, up five points from the first quarter but down slightly from a 56 score during the second quarter of 2025. They also reported customer traffic had jumped from a poor 34 score during the first quarter to a 43 score, though this was still down seven points from the second quarter of 2025.
Index results greater than 50 indicate dealers view conditions as positive or improving. A score of 50 is neutral. Scores below 50 indicate conditions are negative or weakening.
Dealers felt good about the upcoming three months for business, forecasting a more bullish 57 score. They had a similar outlook a quarter earlier and when polled during the second quarter of 2025.
“Still a high demand, but economic uncertainty is making people wary,” a Toyota dealer in the West told Cox. “We are focusing on cheap cars though and those sell regardless of what the economy looks like.”
Used-vehicle conditions strong in 2nd quarter
Dealers were even happier with the used-vehicle market during the quarter. They rated it a 62, the highest score since the third quarter of 2022 when a shortage of new-vehicle inventory pushed up prices and encouraged used-vehicle sales. It was up from a 57 during the first quarter and a 61 in the second quarter of 2025.
“Used-car prices are high,” the Southern Jeep dealer told Cox. “More people are wanting used because new-car prices are even higher lately and higher insurance premiums, too. People who usually trade every couple of years are holding off.”
A Ram dealer in the West reported a “thriving” used-vehicle department.
“We’ve recorded the highest gross profit in years, indicating that used-vehicles sales have been our key profit center for the last few months,” the dealer said.
A Volkswagen dealer said they “can’t keep low-cost, pre-owned vehicles or expensive luxury pre-owned vehicles on the lot.”
Read More:
Cox's spring survey found dealers optimistic about the future and feeling the best about used vehicles since Q3 2022. But the economy grew to be a problem for 54% of dealers.