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SONAR Sightings: Dallas loses market share; rates from China to US take another drop

The highlights from Wednesday’s SONAR reports are below. For more information on SONAR — the fastest freight-forecasting platform in the industry — or to request a demo, click here. Also, be sure to check out the latest SONAR update, TRAC — the freshest spot rate data in the industry.

Market Watch for Oct. 19:


Dallas lost more outbound tender market share this week as outbound demand continues to decline.

Market share for Dallas dropped from 3.1% Oct. 12 to 2.85% on Wednesday. This drop comes as outbound volumes have been on a consistent decline for nearly two weeks, and allowed the Houston market to surpass Dallas with 2.86% market share. The Outbound Tender Volume Index for Dallas is down more than 23 points, or 6.7%, since last Wednesday and is still pointed in a downward trajectory.

Despite the decreases in outbound volumes, tender rejection rates remain close to 5% — roughly where they have been for the past three months. The Outbound Tender Reject Index in Dallas is up ever so slightly in the past week by 15 basis points to 4.8%, indicating that most carriers are accepting freight, but the ones that are rejecting are searching the spot market for opportunities.


Lakeland, Florida

Both inbound capacity and outbound demand in central Florida are swinging up after a week of inactivity.

Outbound volumes in Lakeland took an upward turn over the weekend and since Monday are up 10.6%. Inbound freight levels are trending up this week as well, as the Inbound Tender Volume Index in Lakeland moved up 24 points, or 8.8%, to 296.8.

Lakeland is a backhaul market, receiving more freight than it ships out, but the increase in both directional volume flows has generated a stalemate in Lakeland’s Headhaul Index, flatlining at -120.4.

Rejection rates started to trend up as volumes started to rise but took a downward turn Tuesday, decreasing to 2%. The drop in rejections points to carriers starting to settle back into their contracted freight.


NTI as a point of reference

The National Truckload Index is a daily look at how spot rates in specific lanes hold up in comparison to the national average, giving carriers and brokers an idea of which lanes to gravitate toward or avoid.

NTI Daily

Ocean shipping rates

Spot market rates per forty-foot equivalent unit took another drop this week after little to no change last week.

Container rates per FEU from China to the U.S. West Coast dropped $293.68 on Monday to $2,491.60. Container rates from China to the U.S. East Coast took an even larger drop of $417.62, to $5,719.16. Both of these prices are the lowest they have been since March 2021.

The spread between the two maritime lanes is now $3,227.56.

Meanwhile, booking volumes from China are down in the past five days. The Ocean Container Booking Volume Index in SONAR Container Atlas is down 20.4% since Saturday, but this is normally the time of year when booking volumes would be ramping up. Booking volumes from China to the U.S. were 49.1% higher this time last year than they are now, and overall volumes were 46.1% higher.


Lane to watch: Atlanta to Lakeland

Relief is still being sent into Florida to help victims affected by Hurricane Ian, and spot market rates from Atlanta to Lakeland are up 16 cents since the start of the month to $3.40 a mile — 82 cents above the national average.

Outbound tender rejection rates ticked up Tuesday to 3.4% after reaching a two-year low at the start of the week. As these rejections continue to pick up steam, spot market rates leaving Atlanta will only continue to rise, and delivering relief to those still in need while making a few dollars is what trucking is all about in times like these.

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Watch: Carrier update

Corey Smith

Corey is a staff writer for FreightWaves with experience in air, intermodal and parcel operations, as well as LTL and full truckload transportation management. He is a graduate of the University of Memphis, majoring in supply chain management, and enjoys basketball, cinema and traveling.