KOMU Photo/ Matthew Schmertz
FTR said its Trucking Conditions Index remained high in October due to capacity tightness from regulatory drag from the implementation of the hours-of-service rules.
The index dipped marginally to 9.18, FTR reported.
“As cost increases continue to move higher, especially following the implementation of new [hours of service] regulations this summer, we look for rates to follow suit. They began moving up during Q3 but not sufficiently enough to make up for the increased costs, and carriers’ margins deteriorated,” Jonathan Starks, FTR’s director of transportation analysis, said in a statement.
TCI is designed to summarize a collection of industry metrics, with a reading above 10 signaling that volumes, prices and margins are likely to be in a solidly favorable range for trucking companies.