Energy Prices Drive Inflation Up; Retail Sales Jump
The March Producer Price index from the Department of Commerce soared 1.6% from February on top of a 2.5% rise over the prior two months.
The March Producer Price index from the Department of Commerce soared 1.6% from February on top of a 2.5% rise over the prior two months.
More than half of the gain was higher oil and natural gas prices, said Jim Haughey, Newport Communications' senior economist. Most of the rest was the spillover of higher energy costs into other markets and a 4.5% jump in auto prices while rebates were temporarily suspended. The underlying inflation rate is still near 1.0% although it is expected to creep up toward 2.0% by the end of next year with a stronger economy and a weaker dollar that boosts import prices.
"Most of year-to-date increases are now reversing as spot market crude oil prices have fallen from the high $40s to the high $20s and Detroit has brought back rebates for most models," Haughey said. "OPEC got too greedy and overcompensated for missing Iraqi oil shipments. They also appear to have overestimated how long Iraqi supplies would be lost. Maybe they got a tip from the Iraqi Information Minister."
Both LTL and TL freight rates rose 0.5% in March from fuel cost adjustment clauses. Truck and trailer prices were largely unchanged.
Meanwhile, retail sales rose an unexpectedly strong 2.4% in March from February according to the Census Bureau. January and February were both revised significantly higher. Hindsight suggests that February's 1.4% sales drop was due more to bad weather than war concerns.
"Remember that it canceled Presidents Day auto sales events throughout the East. But snowed in shoppers made up for lost time in March, especially at auto dealers -- where sales rose 5.3% -- and building material dealers, where sales surged 7.9%."
Grocery, drug store and department store sales together were unchanged from February. The expected month-to-month sales gain in the spring is 0.4 to 0.5%. This is about the average of February and March together.
Two-thirds of the March gain was higher auto sales; March sales were quite high so sales this spring are not likely to gain much, if any.
Retail sales increased at a 6% annual rate in the first quarter strongly suggesting that GDP growth will be higher than the 0.5 to1.0% generally expected.
More Fleet Management

What Trucking Events are Happening in 2026?
Looking for trucking-related conventions, expos, and other events? Heavy Duty Trucking has developed this list of national and larger regional trucking shows and events.
Read More →
Truckload Rates Keep Rising as Tight Capacity Fuels Freight Market Recovery
Spot and contract rates continued climbing in May and June, not because freight demand is surging, but because fewer trucks and drivers are available.
Read More →
What Geotab's New AI Connector Means for Fleets
Fleets can now ask their usual AI assistants questions about maintenance, safety, fuel use, and vehicle performance, using their live Geotab data, and take action on the answers without leaving their preferred AI tool.
Read More →
New C.H. Robinson Tool Opens Door to More Predictable Freight
BidBoardX lets carriers search, bid on, and secure committed freight opportunities through a single digital marketplace.
Read More →
New York City's Microhub Project is Delivering Results
Trucking, last-mile delivery companies, and environmental advocates like what they are seeing so far with New York's microhub program.
Read More →
Why Truck Detention Keeps Costing Fleets Time and Money
A 2024 ATRI study found detention affects nearly 40% of truckload stops and costs the industry more than $15 billion annually. Despite the toll on drivers, fleets, and supply chains, the problem remains stubbornly persistent.
Read More →
Time is Running Out to Apply for Exclusive HDT Event
Heavy Duty Trucking Exchange brings fleet managers and suppliers together for the deeper conversations that lead to ideas, partnerships, and solutions. Time is running out to apply for the September event.
Read More →
Amazon Launches Less-Than-Truckload Freight Offering for All Businesses
This launch is the latest addition to Amazon Supply Chain Services, a portfolio of supply chain capabilities from Amazon, including freight, distribution, fulfillment, and parcel shipping.
Read More →
Import Cargo Volume to See Year-Over-Year Gain Again in June, Then Remain Below 2025 Levels Into Fall
After July, the report predicts a weakening in import volume as consumer uncertainty remains high and the impact of increasing inflation takes its toll.
Read More →
AUCTION OF EQUITY INTEREST IN HEAVY HAUL TRUCKING COMPANY!!
Mark your calendar: June 30, 2026 (10:00 a.m. PDT). A 37.5% ownership interest in MagnaTrans, LLC, a California limited liability company doing business as Magna Transportation Group, will be sold in an in-person and online auction to the highest bidder or bidders under Article 9 of the Uniform Commercial Code. The Rancho Cucamonga-based heavy haul and over-dimensional trucking company operates across California, Oregon, and Arizona.
Read More →

