Trucking news: Philadelphia area sees top spot market rates, says TransCore

By Jeff Berman · October 31, 2011

Data from TransCore’s Truckload Rate Index released today found that Northeast-based dry van rates for major lanes were in the top position in the spot market for the seven-day period ending October 26.

TransCore officials said the top paying lane was for short-hauls from Philadelphia to Boston, with average round trip rates at $2.09 per mile, which was up 1 percent from the previous week. Rounding out the top three were dry van rates from Charlotte to Philadelphia and Columbus to Philadelphia, respectively.

On the lower, less profitable end was the backhaul from Charlotte to Memphis at $0.88 per mile, said TransCore. But the firm said that this run could also be profitable, because it added a third leg—or trihaul—to return to its origin. And because of this carriers could add 35 percent more loaded miles through a trihaul through Jackson, Mississippi at $1.50 per mile and then return to Memphis at a rate of $2.08 per mile and increase revenue by 14 percent.

“The spot market has been strong,” said an executive at a freight brokerage firm whom declined to be identified. “We talk with lots of carriers and shippers every week and are buying lots of transportation in the market every week. What I don’t know is how long it will last in terms of lasting through this month or subsiding quickly. The last two or three years, though, we have not had as much seasonal peak as we normally have had in the pre-holiday season.”

The executive added that this data raises the question of whether the economy is as bad as it seems or possibly returning to more normal seasonality as it pertains to inventory.

As LM has reported, shippers and carriers alike have said that the spot market is still attracting top dollar rates, as carriers are reluctant to add capacity at a time when the economic recovery appears tenuous, retail sales are flat, unemployment is high, and gas prices are about a dollar higher than they were a year ago at this time.


About the Author

Jeff Berman
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Latest Whitepaper
Reduce Order Processing Costs by 80%
Sales order automation software will seamlessly transform inbound emailed and printed purchase orders into electronic sales orders that can be automatically processed into your ERP system with 100% accuracy.
Download Today!
From the June 2016 Issue
In the wildly unstable ocean cargo carrier arena, three major consortia are fighting for market share, with some players simply hanging on for survival. Meanwhile, shippers may expect deployment shifts as a consequence of the Panama Canal expansion.
WMS Update: What do we need to run a WMS?
Supply Chain Software Convergence: Synchronization Realized
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Optimizing Global Transportation: How NVOCCs Can Use Technology to Operate More Profitably
Global transportation isn't getting any easier to manage, especially for non-vessel operating common carriers (NVOCCs). Faced with uncertainties like surcharges—but needing to remain competitive when bidding against other providers—NVOCCs need the right mix of historical data, data intelligence, and technology support to make quick and effective decisions. During this webcast you'll learn how Bolloré Transport & Logistics was able to streamline its global logistics and automate contract management.
Register Today!
EDITORS' PICKS
Details Key to Cross-border Ease
Ever-changing regulations are making it risky for U.S. companies engaged in cross-border trade...
Digital Reality Check
Just how close are we to the ideal digital supply network? Not as close as we might like to think....

Top 25 ports: West Coast continues to dominate
The Panama Canal expansion is set for late June and may soon be attracting more inbound vessel calls...
Port of Oakland launches smart phone apps for harbor truckers
Innovation uses Bluetooth, GPS to measure how long drivers wait for cargo