ATA: Truck tonnage index falls 0.5% in June

The seasonally adjusted index increased 1.8 percent compared to June of 2014, according to the American Trucking Associations.    Domestic truck tonnage fell 0.5 percent in June, following a revised increase of 0.8 percent during the previous month, according to the American Trucking Associations’ advanced seasonally adjusted For-Hire Truck Tonnage Index. ATA had previously reported a 1.1 percent increase in the index for the month of May.
   The seasonally adjusted index equaled 131.1 in June, a 1.8 percent improvement from June 2014. Through June, year-to-date tonnage was up 3.4 percent compared to the same period the previous year. The SA index fell 1.7 percent in the second quarter of 2015 compared to the first quarter, but increased 2 percent from the second quarter of 2014.
   The not seasonally adjusted index, which represents the change in tonnage actually hauled by the fleets before any seasonal adjustment, was up 4.2 percent from May.
“With flat factory output and falling retail sales, I’m not surprised tonnage was soft in June,” ATA Chief Economist Bob Costello said in a statement from the association. “I also remain concerned over the elevated inventory-to-sales ratio for retailers, wholesalers, and manufacturers, which suggests soft tonnage in the months ahead until the ratio falls.
   “I remain hopeful that the inventory correction will transpire this summer. When the correction ends, truck freight – helped by better personal consumption – will accelerate,” he added.