Trucking Conditions Dropped in July, But Stayed Positive

Although FTR’s Trucking Conditions Index for July was down approximately 25% from June’s 11.35 reading, trucking conditions continue to remain favorable for carriers as the recovery continues across the country.

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September 9, 2020

Trucking Conditions Dropped in July, But Stayed Positive — *Source: FTR*

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Although FTR’s Trucking Conditions Index for July was down approximately 75% from June’s 11.35 reading, trucking conditions continue to remain favorable for carriers as the recovery continues across the country.

While carriers took advantage of improved freight rates, freight demand and capacity utilization settled during the month, but FTR expects the TCI to stay positive throughout the rest of 2020 and into the next year.

“The rebound we saw in June took a bit of a breather in July, but the surge yielded higher spot rates. Spot volumes and rates were stronger in August, and imbalance is at record levels,” said Avery Vise, vice president of trucking at FTR.

The near-term outlook remains favorable for carriers, according to Vice, adding that stabilization could come about sooner than later. The relationship between record low retail inventories and increased sales are likely “a big driver of freight demand, and August employment data showed the first real signs that significant capacity is returning,” he added.

Topics:FTR Trucking Conditions Index Trucking Conditions Industry Research Data Analysis Fleet Management

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