COE prices close with slight fluctuations in October bidding

In the first round of bidding in October, COE premiums ended mostly higher, with Cat A and E both recording increasing slightly. Premiums for Cat B fell marginally. 

Premiums for Cat A, for cars up to 1,600cc in engine capacity and with an output of no more than 130bhp, increased by $457 (1.63%) and ended at $28,457.

Premiums for Cat B, larger cars with more than 130bhp or engine displacements larger than 1,600cc, dropped by $6 (0.02%) and ended at $31,301.

In Cat E, the open category, premiums went up by $552 (1.72%), with premiums closing at $32,552.

The marginal changes in COE premiums across the board (less than 2%) indicate that car buying demand right now is low. For Cat A COEs, the exact same number of bids were placed as the previous round. For Cat B and E, a slight increased in the number of bids has had minimal impact on COE premiums. 

Across the board, we can see the same trend across all car COE categories. The first bidding round of July saw a significant drop in COE premiums, and this likely motivated many buyers to purchase new cars or renew their COEs. Subsequently, this caused a bounce back effect over the next two bidding rounds, with all three categories peaking in August before falling again. Thus, it seems that the wave of purchasing in July has now subsided, and we should see COE premiums hold around this price range.