TransCore data cites highest spot market freight availability on record for August

By Jeff Berman, Group News Editor
September 17, 2010 - LM Editorial

The drumroll for high spot market freight availability continues to beat along, according to the most recent data from the TransCore North American Freight Index.

For the month of August, TransCore reported that spot market freight availability was up 75 percent year-over-year, although company officials noted that annual comparisons n the coming months are likely to wane, due to improving freight volume levels TransCore has seen so far in the second half of this year.

TransCore data indicates that from July to August load volume declined by 14 percent, which continues a seasonal pattern seen over the last five years which has seen spot market loads decline by an average of five percent from July to August.

TransCore also reported that freight designated for vans on the spot market dipped 14 percent from July to August, which, the company said may be due to an increase in imports. This is supported by recent data from the Ports of Los Angeles and Long Beach, and the Department of Commerce, which have each reported imports growing on sequential and annual levels.

And as LM has reported and TransCore cites, recent import growth may be driven by U.S.-bound ocean containers hit high levels in July to avoid hectic West Coast ports and to meet retailers’ inventory needs ahead of the holiday season. Some of these shipments may also be responsible for high intermodal volumes, too, which TransCore said could have led to a shift in spot market volume.

While some of the sequential declines are seasonal, other indices, such as the American Trucking Associations Tonnage Index and the Cass Freight Index, are also showing sequential declines especially when compared to a strong first half of the year.

“Due to a tough 2009, all these year-over-year numbers look great,” said Lana Batts, a partner at Transport Capital Partners, in a recent interview. “One would expect that on an annual basis, even though some numbers are trending down month-over-month. Based on numbers from different indices, the peak for tonnage and spot market freight seems to be May.”

Batts said that many carriers are not at optimistic as they once were about volumes but they are still optimistic, even though they are not likely to rise at the levels they did earlier in the year. She added that most carriers are not seeing volumes decline, instead, they appear to be settling in.



About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

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. .(JavaScript must be enabled to view this email address).


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!

Recent Entries

Company says the Cloud offering allows customers to respond more quickly to new business opportunities, without significant upfront cost and implementation times.

As e-commerce continues to take a bigger piece of the holiday package delivery pie, it stands to reason that companies need to be proactive and prepared in order to deliver premium service during the busiest time of year, which is rapidly approaching. And that is exactly what transportation giants UPS and FedEx are doing this year. How are they doing it exactly? The primary step they are taking is to up their numbers of seasonal staffers.

A recent hearing of the Subcommittee on Coast Guard and Maritime Transportation suggests that the U.S. Merchant Marine industry may be poised for a major comeback.

Spot market freight volumes for the month of August remained elevated compared to seasonal norms, according to data issued this week Portland, Oregon-based freight marketplace platform and information provider DAT.

Factors such as rising freight rates, shrinking capacity, an increased desire for global supply chain visibility, have all worked together to drive the need for instituting a culture of continuous improvement in logistics operations and transportation management systems (TMS). To meet today's complex logistics challenges, managers are stepping into a more streamlined, automated approach to transportation management in order to function at optimal levels both domestically and internationally. Read the latest special report.

Article Topics

News · Trucking · TransCore · Spot Market · All topics

About the Author

Jeff Berman, News Editor
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.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA