BLOOMINGTON, Ind. — Spot rate weakness continued in the latest week, but July typically sees lower rates after late June strength, according to Truckstop.
Broker-posted rates in the Truckstop system fell for all equipment types during the week ended July 21 (week 29), although the decreases for the van segments were smaller than they had been in the prior week. Historically, spot rates for dry van and refrigerated equipment flatten out by the end of July, so the next several weeks will be key in assessing the market’s strength.
Total load activity declined 6.7% after rebounding nearly 34% during the week following the Independence Day holiday week. Volume was about 36% below the same week last year and about 27% below the five-year average. Aside from the holiday week, load volume in the latest week was the lowest since Thanksgiving week last year. Volume was up on the West Coast but down in all other regions. Truck postings increased 2.7%, and the Market Demand Index – the ratio of loads to trucks – fell to its lowest level since Thanksgiving week.
The total broker-posted rate declined about 6 cents for the eighth straight weekly decrease. The total market rate was nearly 22% below the same 2022 week and more than 7% below the five-year average. Rates are still moving in a seasonal manner, but they had been holding close to the five-year average until June. Once again, the total market rate in the latest week was the lowest since August 2020.
Dry van spot rates declined 3.6 cents after falling about 8 cents in the previous week. Rates are about 8 cents above the bottom – at least so far – that occurred during the week before May’s International Roadcheck event. Dry van rates were about 20% below the same 2022 week and 11% below the five-year average. Dry van loads declined 2% after recovering about 25% during the week after the holiday week. Volume was 27% below the same week last year and about 17% below the five-year average for the week.
Refrigerated spot rates eased just over 3 cents after decreasing about 5 cents during the week following the holiday week. Rates are only about 4 cents above the level during the week before International Roadcheck, although the recent bottom occurred in mid-April. Rates were about 14% below the same 2022 week and nearly 9% below the five-year average for the week. Refrigerated loads ticked up 1.4% after rebounding 17% during the week following the holiday week. Volume was 26% below the same week last year and about 17% below the five-year average for the week.
Flatbed spot rates fell about 6 cents after decreasing 4.6 cents during the previous week. Rates were at their lowest level since December 2020 and were nearly 25% below the same 2022 week and about 6% below the five-year average. Flatbed loads fell 12.7% after jumping nearly 46% during the week following the holiday week. Aside from the July 4 holiday week, load activity was the weakest since late December. Volume was more than 46% below the same week last year and more than 41% below the five-year average for the week.
The Trucker News Staff produces engaging content for not only TheTrucker.com, but also The Trucker Newspaper, which has been serving the trucking industry for more than 30 years. With a focus on drivers, the Trucker News Staff aims to provide relevant, objective content pertaining to the trucking segment of the transportation industry. The Trucker News Staff is based in Little Rock, Arkansas.