Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Freight Shipments, Expenditures Hit Highest Levels of 2016 but Will it Continue?

Freight shipments and expenditures edged up in June after three months of lackluster performance, hitting their highest levels of the year, according to the Cass Freight Index – but it remains unclear if this is part of a larger trend.

Evan Lockridge
Evan LockridgeFormer Business Contributing Editor
July 19, 2016
Freight Shipments, Expenditures Hit Highest Levels of 2016 but Will it Continue?

 

3 min to read


Freight shipments and expenditures edged up in June after three months of lackluster performance, hitting their highest levels of the year, according to the Cass Freight Index – but it remains unclear whether this is part of a larger trend.

The June freight shipments index climbed 1.7% from the month before, but it is still 4.3% below last year’s level and 7.6% lower than in June 2014.

Ad Loading...

Rosalyn Wilson, supply chain industry analyst and founder/president of the consulting practice FreightMatters, who provides analysis for the report, says stores are already stocking school supplies, which accounts for some of the increase.

She notes that after particularly slow traffic in April and May, the Association of American Railroads reports that carload shipments rose 29.3% and intermodal shipments jumped 23.4% in June. Also, The American Trucking Associations reported that May truck tonnage was up 2.7%. However, figures released just hours before the Cass Index showed a 1.5% decline in ATA's tonnage in June, while May’s figures was revised higher showing a 2.9% gain.

In addition, the freight-matching service provider DAT reported that spot market loads increased 28% in June, “indicating that truck tonnage should be up in June also,” Wilson said – but that didn’t happen, at least with ATA numbers.

Ad Loading...

“June’s shipments are in step with patterns that have been observed in the past few years, but are still well below the volume in the last two years," she said. "July usually sees a dip in the number of freight shipments, but the first part of July [this year] seems to be fairly robust."

Total freight expenditures reported by Cass jumped 3.9% in June from May, the second largest increase this year, but it's 8.8% below the level of June 2015.

Wison said the increase can be attributed to growth in shipments.

“DAT reported that both volumes and rates were up for most spot market moves. Abundant available truck capacity has provided strong competition for rail intermodal, holding down rates for both,” she said. “With the relatively slow and bumpy freight market so far in 2016, rates should stay flat with expenditure changes tied closely to the volume of freight shipments.”

If all of this leaves you feeling a bit confused, you’re not the only one, with Wilson calling the first half of the year’s economic performance “perplexing.”

Ad Loading...

“Consumer spending has been growing, although the effect on freight is small, as most of this increase has been in the service sector. Inventories are mostly unchanged at uncomfortably high levels, but the inventory-to-sales ratio fell in April for the first time in over a year,” she said.

Wilson also noted exports and imports are down, residential and commercial construction has been slowing, and consumer spending on goods is weak.

“That said, the manufacturing sector is awakening with a 3.9% growth in production, 2.3% increase in new orders and an 11.7% growth in order backlog," she said. The Federal Reserve recently decided against another interest rate hike, citing ‘considerable uncertainty’ in the U.S. economic outlook and ‘vulnerabilities’ from abroad.

The bottom line, according to Wilson, is that while the economy in the second quarter was stronger than the first, “the mixed signals in the air make the third quarter uncertain.”

Data within the Cass Freight Index includes all domestic freight modes and is derived from $25 billion in freight transactions processed by Cass Information Systems annually on behalf of its client base of hundreds of large shippers, accordign to the company, while annual freight volume per organization ranges from $1 million to over $1 billion.

More Fleet Management

Greg Feary, president and managing partner of transportation law firm Scopelitis, Garvin, Light, Hanson & Feary.
Fleet ManagementMay 27, 2026

What Trucking Fleets and Brokers Need to Know About This Supreme Court Case

In May, the U.S. Supreme Court ruled that freight brokers can be held liable for damages if a truck they have contracted with is involved in an accident. Transportation attorney breaks down the ruling and its implications for the trucking industry.

Read More →
Illustration of hacker and information network
Fleet Managementby Ben WilkensMay 22, 2026

The Trucking Industry’s Threat Intelligence Gap

The trucking industry has no shortage of cybersecurity reports and cargo crime statistics. What it lacks is timely, operational intelligence that fleets can actually use.

Read More →
Illustration of rising costs with truck in background

Truck Crash Rates Are Down. So Why Do Insurance Costs Keep Rising?

ATRI’s latest research points to litigation, social inflation, and soaring claims costs as key drivers behind record-high liability premiums for trucking fleets. But there are things motor carriers can do.

Read More →
Ad Loading...
ATA Truck Tonnage April 2026

ATA Truck Tonnage Holds Steady in April at Highest Levels Since 2022

ATA’s For-Hire Truck Tonnage Index was unchanged in April after a strong March gain, with freight volumes remaining at their highest levels since late 2022.

Read More →
Greg Feary, president and managing partner of transportation law firm Scopelitis, Garvin, Light, Hanson & Feary.
Fleet Managementby Jack RobertsMay 20, 2026

Behind the SCOTUS Broker Ruling Part 1

Transportation attorney Greg Feary breaks down the recent Supreme Court decision that brokers can be held liable for damages in truck accidents and what it means for the trucking industry going forward.

Read More →
Ad Loading...
ACT Research preliminary trailer orders April 2026.

ACT Research: Trailer Orders Continue Upward Surprise in April

Preliminary net trailer orders rose 3% from March and jumped 126% year over year, signaling stronger-than-expected demand despite typical seasonal softness.

Read More →
DAT Freight Volume April 2026

DAT: Fuel Surcharges Drive April Truckload Rate Gains as Freight Volumes Slip

Truckload spot and contract rates climbed in April. But DAT says higher fuel costs -- not stronger freight demand -- were behind most of the increase.

Read More →
Graphic with light bulbs, HDT Truck Fleet Innovators logo, and the word Nominations
Fleet ManagementMay 15, 2026

Deadline Extended for HDT Truck Fleet Innovators Nominations

Heavy Duty Trucking has extended the deadline for nominations for its Truck Fleet Innovators awards. The deadline has been extended to May 22.

Read More →
Ad Loading...
Illustration of U.S. Supreme Court building and a truck crash

Supreme Court Ruling Puts Freight Broker Vetting Practices in Spotlight

The unanimous SCOTUS ruling in the closely watched Montgomery v. Caribe case allows state negligence claims against freight brokers that hire unsafe motor carriers, raising new liability and vetting concerns among brokers.

Read More →