Freight Futures data to watch today: May to June Spot Contract Roll
Friday marked the last trading day for the May spot futures contracts, meaning on Monday, the June contracts will become the spot contracts. This is known as the “spot contract roll.” On Friday, as well as for the week, the May contracts finished mixed. The spot National contract (FUT.VNU202005) ended the week unchanged at $1.335 per mile. The East regional contract (FUT.VEU202005) dropped $0.022, or 1.63% week-over-week to $1.324. The West regional contract (FUT.VWU202005) rose $0.019, or 1.3% to $1.486, and the South regional contract (FUT.VSU202005) finished the week up a fraction to $1.196.
On the spot contract roll, the June contracts will begin trading at higher rates than their May counterparts. The June National contract (FUT.VNU202006) rolls in at a $0.125 (9.4%) premium over May at $1.460 per mile; the East regional contract (FUT.VEU202006) at a $0.113 (8.5%) premium at $1.437; the West regional contract (FUT.VWU202006) at plus-$0.174 (11.7%) at $1.660; and the South regional contract (FUT.VSU202006) $0.086 (7.2%) higher at $1.282. On the individual lanes, the ATL to PHL contract (FUT.VAP202006) rolls in significantly higher by $0.241, or 14.3%, at $1.931 and the LAX to SEA contract (FUT.VLS202006) at a whopping premium of $0.39 (18%) at $2.550. The SEA to LAX contract (FUT.VSL202006) opens at a $0.043, or 5.3%, discount to May at $0.770.