BLOOMINGTON, Ind. — FTR’s Shippers Conditions Index for March plummeted to -18.9, reflecting, as expected, exceptionally harsh market conditions driven primarily by the sharp rise in fuel costs.
“Only once in the SCI data, which dates to 2000, did the index suggest more unfavorable overall conditions for shippers than in March,” said Avery Vise, FTR’s vice president of trucking. “Exactly four years earlier, the fuel component was not quite as negative, but freight rates and utilization were notably more unfavorable. However, in March 2022, rates and utilization were beginning to move in a favorable direction while today those factors are rising challenges. We expect market conditions to stabilize over the next quarter or so, but they don’t look favorable for shippers over the two-year forecast horizon.”
Capacity utilization and freight rates also were negative factors as they have been all year. The February index reading of -11.9 had indicated the toughest market for shippers in nearly four years. The SCI outlook is negative but less than in March.
Dana Guthrie is an award-winning journalist who has been featured in multiple newspapers, books and magazines across the globe. She is currently based in the Atlanta, Georgia, area.
