And a return to the more recognizable seasonal swings in equipment prices and activity is something that would be welcome after a jittery few years. But the end of uncertainty may come with a somewhat higher price floor as well. “Really it has been pretty stable—in December a dip [in [prices], in January a rise,” says Pierce. “But it’s still maintaining a gentle increase. We’re at 4% higher [used equipment] values from this time last year, almost 14% higher than two years ago.” Pierce adds that given the current general economic climate in the U.S., he does expect prices in resale to continue to rise gradually in the coming months. And with a rise in interest rates expected to impact financing options for equipment purchases, it’s not entirely surprising to see a spike in auction activity.

Intel From CONEXPO

For those trying to procure new equipment, there are other obstacles to consider. Nearly 140,000 attendees flocked to Las Vegas last month for the triennial CONEXPO-CON/AGG equipment trade show, and a strong demand for fresh iron was often met with the harsh realities of the already full backlogs of numerous original equipment manufacturers.

Anecdotally, ENR found that show attendees were eager to reserve new equipment, even if delivery couldn’t be guaranteed until well into 2024.

This mood was also detected by industry analysts at the show. In a March 20 note to investors about trends at CONEXPO, Credit Suisse lead industry analyst Jamie Cook observed that “demand continues to outpace supply” for OEMs, and “channel inventory remains below normalized levels and is expected to remain low as we exit 2023.” Cook also notes that demand for new equipment is compounded by a rental fleet that is aging and falling short of demand. She expects OEM backlogs to stay strong for some time.