FTR’s Trucking Conditions Index Dips, Remains Positive
FTR’s Trucking Conditions Index dipped in September but stayed positive, reflecting strong underlying market trends, the group said.
The index decreased 0.03 point to 9.07, the transportation forecasting firm said.
FTR said it expects little movement in the index for the foreseeable future unless there is a change in the economy or increased regulatory drag on capacity.
“Rates are still well above year-ago levels and will stay that way until we lap winter conditions in January and February,” Jonathan Starks, FTR’s director of transportation analysis, said in a statement. “The contract market is lagging on rate growth, but we still see a concerted upward shift over the last year.
“The combination of HOS changes in 2013 with weather events in 2014 was enough to move market conditions in truckers’ favor,” he added. “Contract negotiations will take place during the winter slow season — we will see how much market clout the fleets are able to use. The real results will come later in the year. Successful shippers will be able to secure capacity and limit cost inflation by working with their carrier base rather than focusing on negotiating strength.”
