VIEW CART (0 ITEMS)


FTR’s Trucking Conditions Index for November Falls to More Sustainable Positive Level After Spike in October

01.31.18 | FTR

 
FTR’s Trucking Conditions Index (TCI) for November fell back from the spike measured in October to a more sustainable level with a 5.8 reading. Although there was a significant monthly decline in the index, conditions remained strong for carriers in November. FTR assumed the spike in October would be short-lived and would likely not be maintained at that level. However, if contract rates are able to sustain their current upward pace, the index in 2018 will be better than the November reading. Freight demand remains strong but, with utilization figures close to 100%, there is not much upside potential to this piece of the index.

Details of the November TCI are found in the January issue of FTR’s Trucking Update, published December 22, 2017. The ‘Notes by the Dashboard Light’ section in the current issue takes a close look at the history of ELD implementation and the forecasted impact of the now implemented mandate. Along with the TCI and ‘Notes by the Dashboard Light,’ the Trucking Update includes data and analysis on load volumes, the capacity environment, rates, costs, and the truck driver situation.

Click here to view the latest release and an interactive graph of the TCI >


Jonathan Starks, Chief Operating Officer at FTR, commented, “With utilization levels fairly close to industry limits, further gains in the TCI are likely to come from either more significant pricing gains or additional freight growth. We are already seeing the pricing effects take hold with more substantial contract rate gains as spot market pricing surged after the hurricanes and during the holidays. Spot markets actually hit record high rates in the last week of 2017 and are starting 2018 at a significantly elevated level. As we move into 2018, the market is poised to see additional freight growth and further limits on capacity as ELDs are fully enforced beginning April 1. The next critical time frame is Q2 when truckload activity ramps up and the full ELD enforcement hits. As the recent Polar Vortex weather demonstrated, any modest change in operating conditions can have an oversized impact on carriers and shippers as the industry operates with very limited (if any) excess capacity.”
 

For more information on how to subscribe to Trucking Update, or other publications within FTR's Freight Focus, send an email to sales@ftrintel.com  or call (888) 988-1699 ext. 1 and follow us on Twitter @FTRintel.

Trucking Update, published monthly, is part of FTR’s Freight Focus and reports data that directly impacts the activity and profitability of truck fleets. As part of Trucking Update, FTR forecasts expected trends in this data and the probable short and long term consequences.
 
Click here to download a sample report >

About FTR
For more than two decades, FTR has been the thought leader in freight transportation forecasting in North America. The company’s national award-winning forecasters collect and analyze all data likely to impact freight movement, issuing consistently reliable reports for trucking, rail, and intermodal transportation as well as providing demand analysis for commercial vehicle and railcar. FTR’s forecasting and specially designed reports have resulted in advanced planning and cost-savings for companies throughout the transportation sector.