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FTR’s Shippers Conditions Index Continues Downward Trend with Strong Economy and ELD Mandate Creating Tightness in Truck Market and Rising Rates

FTR’s Shippers Conditions Index (SCI) continued to fall in October to a reading of -9.6. Truck rates, both spot and contract segments, have increased for shippers. This is an immediate reflection of the tight truck market. After the holiday blitz, tight capacity should ease somewhat in Q1 2018, as it typically does, before peaking again in the Spring. However, there is additional downside risk to the SCI for early 2018 if contract rates jump substantially or the electronic logging device (ELD) effects are more pronounced than expected.

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