Wholesale used car prices dropped by 4.2 percent from May to June, marking the largest monthly decrease since the start of the COVID-19 pandemic, according to the Manheim Used Vehicle Value Index (MUVVI).

The index, which is a measurement of wholesale prices of used vehicles, also saw a drop of 10.3 percent from a year ago.

“The 4.2 percent drop is among the largest declines in MUVVI history and the largest decline since the start of the pandemic in April 2020 when the index plunged 11.4 percent,” Chris Frey, senior manager of economic and industry insights for Cox Automotive, said in a statement.

“The year-over-year decline was also large, another 2.7% drop from May’s annualized 7.6% decline, but as mentioned last month, auction prices were lower in the fall last year, and we expect these increasing year-over-year moves to shrink in the months ahead as the market normalizes,” Frey added.

The report noted that June’s decrease in price was a record for the month and had been “slightly impacted” by the seasonal adjustment. Compared to June 2022, prices for pickups and vans lost less than the industry as a whole, at 6.6 percent and 8.5 percent, respectively.

Sports cars were the worst off, dropping 14.8 percent in prices compared to last year, while compact cars and midsize cars each dropped by more than 12 percent from June 2022.

“Buyers at auction look to have taken an early summer break, and while used retail inventory has been improving over the last several weeks, we are expecting less volatility in wholesale price movements through year-end,” Frey said.

The report also found that used vehicle retail sales in June decreased 4 percent compared to May but are estimated to be down by 6 percent compared to last June.

Used car prices surged since the pandemic hit in 2020; prices jumped up 40 percent to an average of nearly $29,000 between early 2020 and May of this year, the Associated Press reported.