COE 1st Bid Jan 2024 results : Lowest in 2 years.

 

COE finally corrected!

COE has crashed for the 1st bid of 2024.

While the quota and number of bids are similar to the last round, the final COE amount falls for CAT A and CAT B. This is the lowest in 2 years.

Our earlier analysis predicted that COE prices could fall in 2024. There are market talks that COE may soon be revamped. Additionally, while the current quota is increased through 'cut and fill' exercise by the government, there is also anticipation that it will increase as a result of more cars reaching the 10-year mark and thus increasing supply.

While the anticipated increase in GST and the reduction of EVs may drive the market to buy in Dec 2023, there is less impetus for buyers to buy at the previous COE rate. With this drop, there is anticipation that buyers will flock to the showroom once again.