BLOOMINGTON, Ind. — While the numbers are trending in the right direction, FTR’s Trucking Conditions Index (TCI) indicated a more hospitable environment for carriers in April but remained negative at a reading of -1.95. However, that reading was up from -7.25 in March, according to a release issued this week.
Both freight rates and financing costs were less negative, and freight volume improved. The TCI has not been positive in any month since early 2022 and likely will be mostly mildly negative for the rest of the year. The index could see some outlying positive readings as it moves closer to neutral territory.
“Better days are in sight for trucking companies, but the market still needs to work through the tough combination of too much capacity and sluggish freight demand,” said Avery Vise, vice president o trucking for FTR.
“The May payroll jobs figures for trucking offered some encouragement that this transition is underway, but a healthier situation for carriers will require continued rightsizing of capacity and stronger volume,” he continued. “We still do not expect consistently favorable market conditions for carriers until early next year.”
Details of the April TCI can be found in the June issue of FTR’s Trucking Update, published May 31, 2024. Additional commentary in the June edition analyzes the lingering excess trucking capacity among both small and larger carriers. The Trucking Update includes data and analysis on load volumes, the capacity environment, rates, and the economy.
Bruce Guthrie is an award-winning journalist who has lived in three states including Arkansas, Missouri and Georgia. During his nearly 20-year career, Bruce has served as managing editor and sports editor for numerous publications. He and his wife, Dana, who is also a journalist, are based in Carrollton, Georgia.
