Sunday, May 18, 2008
COE Prediction - May 2008 2nd Bidding Exercise
The fall in the COE Quota Premium in the last bidding exercise came as a surprise to me. It seems that the concern over the rapid inflation in Singapore hits home. With high oil price and rice price, the annual increment for most salaried motorists will not be enough to cover the increased expenditure.
If you have been shopping for a new car, you will notice that the car prices are not falling in tandem with the COE Quota Premium. An example - the Mazda 3 SP is priced at $53,xxx more than a year ago when Category A COE Quota Premium was at about S$11,000; the pricing now is $56,xxx - has inflation caused this increased in price?
There may be some buyers coming in with the reduced (but less than my expectation) price so the COE Quota Premium should increase marginally. Note that the bidding exercise starts on Tuesday May 20 instead of Monday May 19, Vesak Day and will end on Thursday May 22 4pm.
Prediction on May 18:
Category A: $12,000-13,000
Category B: $16,000-17,000
Verdict on May 22:
Category A: $15,701
Category B: $17,113