The Dry Van Weekly Barometer is predicting stronger contract pricing in coming months. Even though it has pulled back from extreme highs, it continues to reflect one of the highest levels of demand in excess of capacity in the history of the barometer.
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.
Schneider National became the latest carrier to announce that it has benefited financially from the strong pricing and capacity squeeze when it announced its second-quarter operating revenues were up 15% year-over-year.
Among today’s highlights: a drop in spot rates, Werner comments on driver availability, Rhode Island collects more than expected
Both Dry Van Weekly Barometer and Reefer Weekly Barometer are predicting stronger contract pricing in coming months.
As the trucking industry continues to broadly install and learn to use the ELDs, there are beginning to be large disparities in the way the devices are impacting capacity via mode.
The spring season has yet to see an event big enough to move carriers from their newly executed contracts.
Freight rates have increased significantly in a short period of time over the past year. Aside from shipping volume increases and driver shortages, there is another less discussed factor at play.
Flatbed freight remains red-hot with 111 loads for every truck, but what is causing the surge in demand?
Shippers that work closer with carriers and treat drivers with respect can see lower transportation costs as a result.
Persistance is important in reaching any deal, but delivering on what you promise is equally important.
Techpertise together with TMW SystemsTechnology platforms have enabled the Dart Network to automate the bidding process, leading to a more efficient system that better utilizes company resources.
Xeneta is a freight rate benchmarking platform focusing on ocean freight. It aggregates rate data from various companies into a platform and provides market average rates, lows and highs to its customers.
Chad Boblett has built not just a successful Facebook group, but also the largest professional online forum in the U.S. on rates and logistics in the freight industry
American Trucking Associations President & CEO Chris Spear took to Medium on Thursday to tout the benefits the trucking industry will see from passage of the new tax law, including noting an ATA survey that says 50% of fleets are planning wage increases or one-time bonuses.
Losing your job is a painful experience, and buyers of transportation who can’t get things picked up and delivered on time lose their jobs.
The worst kept secret in the industry is that demand is in excess of capacity in every mode of truckload trucking, and has been for several months.
Carriers will have an amazing opportunity to participate in RFPs during this bid cycle. Before investing a ton of time, we discuss how best to think of the opportunities
Fleet execs are talking about the driver shortage as if it were the worst thing to happen in the industry, but they should be thankful. It keeps gives fleets pricing power.
Van and refrigerated spot rates remain near historic levels, according to the latest data from DAT. The firm said the national average van rate fell 1 cent to $2.06 per mile, but remains just 3 cents below the post-hurricane peak of early October.
For the first time since DAT began reporting its data in the current format, the monthly spot rate has exceeded the contract rate at the same time in all three modes. And the latest DAT Trucking Freight Barometers are continuing to signal that the ‘fall surge’ is happening for the first time since 2007. Now is a good time to have secured capacity and a bad time to be locked into contract rates.
The momentum in both contract and spot rate increases should feel like a rocket ship. For the first time in years, fleets will enjoy pricing power
Grain supplies have been trending up in the U.S. as prices have remained relatively stable, causing farmers to hold onto their crops longer hoping for a boost in prices. Hurricane Harvey, though, is making the situation worse as grain exports have nearly stopped.
The Port of Houston is expected to open today after shutting down operations last Friday ahead of Hurricane Harvey.
The Shippers Conditions Index has improved slightly in August, although it remains in negative territory, according to the latest update from FTR. At the same time, DAT reported a decline in capacity last week on the spot market, which occurred before Hurricane Harvey struck Texas.
Harvey is the kerosene to accelerate the trends towards a major capacity crunch in the truckload industry. With as much as ten percent of capacity being impacted, combined with surpluss demand coming from relief and rebuilding- the truckload market capacity is expected to be super tight
While the third quarter may be a slow time for contract renewals between carriers and shippers, a few deals have been done so far and the early indications are contract rates are heading up.
Citing the need to cover additional costs during peak holiday shipping periods, UPS has announced a new peak surcharge that will be added to packages shipped during certain weeks this holiday season.
Apple CEO Tim Cook confirmed in a Bloomberg interview on Tuesday that the company is working on autonomous technology, further fueling speculation that the software giant is developing a self-driving Apple car.
The nation is about to heat up starting this weekend, and that could drive more volatility to already rising spot rates for agricultural haulers and shippers.
If past Roadcheck trends hold true, shippers moving flatbed loads will face higher rates because of this year’s inspection blitz. But they won’t be the only ones impacted by the Commercial Vehicle Safety Alliance’s annual safety campaign, which begins today and runs through June 8.
A petition has been filed asking EPA to reconsider its Phase 2 GHG rules based on a procedural step that may have been missed. Also, spot rates climb and cargo theft remains a top concern.
With the summer months quickly approaching and bringing with them, many hope, more home building and construction jobs, flatbed haulers are hoping to continue the momentum they have built early in 2017.
The Northeast has exited a period of cloudy, rainy weather that has held down freight volumes into and out of the region. That is just one of the weather-related stories this week that have affected rates across the nation.
“If the thesis is that all of these small carriers who’ve been running illegally will be put out of business were they to comply with this mandate, there is no incentive for them to comply.” That is part of the reasoning that Stifel analysts have used to suggest the ELD mandate will not drive up shipping rates.
A futures market will react to the underlying fundamentals of its physical market because in the end, the futures price is linked to the physical market. But, the opposite is also true. A physical market can look to a futures market for transparency and guidance on rate structure. A developing trucking freight futures market might be the answer to solving these industry issues.
Rate volatility is something that every broker, carrier and shipper must deal with. But, sometimes knowing how shipping rates will react to an event can be a guessing game. The I-85 bridge collapse in Atlanta is a case in point.
As many drivers and small fleets worry about the impact on productivity and cost with the upcoming mandate to install electronic logging devices, one overlooked aspect is what impact ELDs will have on their insurance rates.
Since the dawn of the shipping industry, brokers, carriers and shippers have struggled with rate price swings, sometimes due to conditions outside their control, such as weather or politics. TransFX, a Chattanooga-based company located in Freight Alley, is trying to help change that by offering “freight futures contracts.”
Weather disruptions such as Winter Storm Stella that is dumping up to 2 feet of snow on the Northeast today can have a ripple effect throughout the supply chain, driving up rates as freight pickups and deliveries are delayed and cancelled.
The required implementation of electronic logging devices later this year has created plenty of worry within industry circles. Beyond the logistics of installing the devices, though, carriers and shippers need to be worried about the business impact: specifically lost productivity and rising rates.
Those on both sides of the freight business have struggled for years with volatile shipping rates. Contracts get locked in for months or more with no assurance that the contract will reflect current prices when loads are delivered. TransVix believes part of the solution to this problem is the creation of a Trucking Futures Exchange.
“There are some trucking-specific changes that will benefit the industry in 2017. The last year and a half was a classic industry recipe for disaster.” That is Bob Costello’s summary of the past year in trucking. He is predicting a turnaround in 2017.
