I've noticed the same development. As a worker in the mutual fund industry, I may be well positioned to offer an insight. As U.S. equity markets have gradually come down from their highs in Spring 2000, the level of disposable wealth in the country has diminished markedly. Though consumer spending has held up so far, new purchases of luxury items like high-end audio components may have slowed dramatically. (I'm not a dealer, and have anecdotal evidence of this only.) Those consumers who purchased expensive systems that appeared easily affordable in January of 2000 (with portfolios valued some 40% higher than at present) may view them anew as little more than a ready source of cash -- perhaps even a stopgap to replace lost income from a job loss. As voters told George Bush in the 1992 election: 'It's the economy...' Your observations are correct. It's a buyers market. There seems to be little reason to buy new at present.
commodity liquidity
hi, is it my imagination or am i seeing a high level of, uh, liquidity in the used component market these days? i have never seen so many products, some that are supposed to be the best in class, on sale on the net, usually for 1/2 or less retail. i suppose that it's a 'buyer's market.' are people downsizing or moving into other things (not necessarily more expensive) at a increasing rate? are they confused about what they want? is it a mad rush to try anything and everything, only to sell again? makes one wonder how much longer the 1/2 retail standard can hold up under pressure of a flooded market. any ideas folks?
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- 9 posts total
- 9 posts total