My 2 cents' worth.....
The reason why this month's COE price is $2 is because the
number of bids submitted is around the quota, hence the number of
bids is not large to cause a big jump in prices.
Hence, I feel the most a car dealer can deduct is $5000 per car.
Because if they cut too much, there will be a strong influx of
customers, as a result, they might risk being unsuccessful in their
first few bids. COE will go up and the cycle repeats itself.
I don't really understand why we should be happy about this.
Rather, the group of people who should be rejoicing are those who
have bought their cars during the previous round of COE. Now that
the COE has dropped, the dealers will refund the difference to
them! Afterall, if we decide to buy now, the COE that we ultimately
get will not be $2.
Just as I expected.... Car dealers cut prices up to $6000.
