Today’s Pickup: Traffic speeds up in major cities as more people stay home

The Brooklyn-Queens Expressway is seeing a 19 mph increase speed for northbound traffic in the afternoon, a time during which traffic generally crawls through the major corridor. Southbound traffic is up 32 mph in the afternoon.

Similar numbers are appearing in other East Coast cities, with speeds in Boston 20-30 mph faster.

On the West Coast, it’s the same story. In Seattle, average speeds have increased 15 mph on average, with speeds along Interstate 5 up 22 mph in the morning and 25 mph in the afternoon.

I-5 South in Los Angeles is 25 mph faster in the afternoon, but only 5 mph faster in the morning.

Did you know?

J.B. Hunt Transport Services announced that it would pay a one-time $500 bonus to drivers and personnel supporting those drivers at company and customer facilities during the COVID-19 pandemic. 

Quotable:

“Fundamentals probably deteriorate before they get better, but volumes/pricing have held up so far. A sharp rebound could be a net tailwind, balance sheet risk is low and even bear-case valuations have normalized, which leads us to believe that risk reward for Freight Transportation is now balanced.”

– Morgan Stanley, on the outlook for transportation sector stocks, which the firm has raised from cautious to in-line.  

In other news:

Will the surge in cargo continue?

While freight volumes are surging as stores rush to restock, there is concern about what will happen as the virus subsides. (Bloomberg) 

Retailers cancelling orders

Fashion retailers have cancelled $1.5 billion in orders from Bangladesh’s garment sector as sales halt. (Sourcing Journal)

GE to cut jet engine jobs

General Electric will layoff 2,500 people – about 10% of its workforce – in its jet engine business due to a decline in demand. (Wall Street Journal)

U.S. airlines preparing for shutdown

U.S. airlines are preparing for a total shutdown of air traffic that they view as inevitable. (The Hill)

More TSA agents test positive

The Transportation Security Administration has announced additional agents at airports have tested positive for COVID-19. (Fox News)

Final thoughts

One of the big fund-raisers for the St. Christopher Truckers Relief Fund is the Mid-America Trucking Show. The cancellation of the show this year will cut into the funding and awareness of the fund, which helps truck drivers facing financial challenges due to illness or injury. In 2019, the fund distributed $487,000 to 344 truckers and their families. Executive Director Donna Kennedy told FreightWaves the fund is concerned about whether it will be able to help drivers in need, at a time when they are most in need. If you would like to donate to the fund, visit their website: https://truckersfund.org/

Hammer down, everyone!