Survey data from the manufacturing sector improved significantly in August, in a sign that activity continues at a strong pace after robust growth in the 2nd quarter.
The economic roundup is a monthly summary of the various factors that affect freight demand and supply in the economy. Data releases in August showed an economic that was performing generally well, but softness in housing and trade are likely to impact freight demand.
Peter Stefanovich of Left Lane Associates, an M&A advisory firm for the transportation industry, talked to us about the current outlook for M&A and why now is the perfect time to sell.
Marketing executive says reforms to trade deal take uncertainty from local customers.
Maersk foresees a $2 billion increase in fuel costs due to sulfur-emissions cap; U.S. consumers might witness increase in car prices after U.S.-Mexico deal; Indonesia is seeing a tremendous growth in ecommerce; German car manufacturers are facing a battery production crisis.
Regional surveys from Federal Reserve districts were mixed during the month, as softening conditions from the Philadelphia and Kansas City districts were offset by improvements in the Richmond and New York regions. Commentary from the regional surveys suggests tariffs, labor shortages, and the inability to find trucking capacity are curbing economic activity across the board, though growth remains generally positive.
North American trading bloc seeks rewrite with auto industry facing brunt of changes.
After remaining flat in 2015-16, the average fleet fuel economy for the nation’s top fleets improved in 2017, according to research conducted by the North American Council for Freight Efficiency (NACFE).
President Donald Trump highlights new deal with Mexico involving automobile trade
A package of weak data on both housing starts and home purchases indicates that housing and construction remains one of the few areas of weakness in the economy in the 3rd quarter. This has put some downward pressure on freight demand, as the movement of building materials, furniture, and appliances is influenced by the strength of the housing market.
As real estate prices are over the roof, the number of people willing to enter the housing market is at a record high. The mismatch needs to be addressed – possibly by better zonal regulations and technology injection in construction methods.
The trade tariffs spat between the U.S. and the rest of the world is having consequences at home, as importers and consumers have to contend with the rise in product prices in the country.
The recent slide in spot rates is typical for this time of year, according to FreightWaves’ CEO, and data indicates another peak before Thanksgiving is possible.
Global sugar prices fall over record production and decreasing demand; oil squeeze looks to be inevitable; Walmart’s size might not help much if prices keep increasing and trucking market remains tight.
A pair of releases this morning show that retail spending and manufacturing output continued to advance in July, signaling that some key components of freight demand remain on solid footing in the 3rd quarter.
Morgan Stanley’s Truckload Freight Index has decreased over the last two weeks and has now underperformed seasonality two updates in a row. This seasonal deceleration is not unusual, as July and August tend to be weaker.
With the recent chatter of a “housing crisis,” and the market reaching a “peak cycle,” we decided to take a closer look at what is going on.
Data on producer prices shows that overall inflation pressure calmed at the start of the 3rd quarter. Trucking prices continued to climb during the month however, particularly for long distance trucking where rate inflation has pushed to a new record high
Survey data in both the manufacturing and service sectors signal that growth continued at a slightly slower pace at the start of the 3rd quarter. Concerns over tariffs, labor shortages, and freight capacity remain issues in the economy overall, and may have contributed to the moderation in growth.
Job growth fell short of expectations in the economy in July after robust hiring over the past several months. Labor market conditions remain tight, however, as the unemployment rate neared historic lows at the start of the 3rd quarter. Within trucking, hiring continued to improve a solid pace in July despite the moderating job growth in the overall economy.
