FreightWaves, in conjunction with DAT and Nodal Exchange, are creating the first-ever Trucking Freight Futures contracts.
Trucking Freight Futures will help bring transparency to the $725 billion North American trucking industry and help participants mitigate price risks. DAT has created a North American trucking market spot lane price assessment methodology specifically for the settlement of the Trucking Freight Futures contracts. Monthly futures contracts will be listed on Nodal Exchange and cleared through Nodal Clear. These contracts will be financially settled against the average of DAT’s daily price assessments for the relevant lane.
Interested in learning about why Trucking Freight Futures make sense and more about how this product came together? Read FreightWaves' coverage of why Trucking Freight Futures are long overdue by clicking below.
Our Trucking Freight Futures Partners
DAT operates the largest truckload freight marketplace in North America. Transportation brokers, carriers, news organizations and industry analysts rely on DAT for market trends and data insights derived from 270 million freight matches in 2018, and a database of $57 billion of market transactions.
Nodal Exchange is a derivatives exchange providing price, credit and liquidity risk management solutions to participants in the North American energy markets. Nodal Exchange is a leader in innovation, having introduced the world’s largest set of electric power locational (nodal) futures contracts.
For more information about becoming a Trucking Freight Futures trading participant on the Nodal Exchange, click HERE.
Who Benefits from Trucking Freight Futures
Trucking Freight Futures Contracts
Freight markets are evolving due to digitization, regulations, cyclical and secular trends. These factors are driving market volatility while also creating significant opportunities. If a product is going somewhere in the U.S., 7 out of 10 times it is getting there on a truck. According to the American Trucking Associations, over 80% of the nation’s nearly $900 billion freight bill became revenue for the trucking industry. With a market size of $726 billion, trucking is one of the largest industries in the U.S.
Nodal Exchange in collaboration with FreightWaves, will be listing the world’s first trucking freight futures contracts. The contracts will be financially settled against DAT’s industry-leading spot rate indices. Trucking Freight Futures will allow market participants to hedge their exposure to rate volatility in three of the largest U.S. freight corridors. Learn more about our Trucking Freight Futures indices, methodology and contract specifications by clicking below.
Learn More About Trucking Freight Futures
To learn more about Trucking Freight Futures and how they work, we recommend watching this CNBC interview with Craig Fuller, the CEO and founder of FreightWaves.