Intermodal pricing increased 3.8 percent for the month compared with the same 2016 period, just the fourth year-over-year increase since December 2014 and the largest since October 2014, according to the latest Cass Intermodal Price Index.
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Intermodal rates in January 2017 rose 3.8 percent year-over-year.
Intermodal rates rose 3.8 percent in January 2017 compared to the same month last year, just the fourth year-over-year increase since December 2014 and the largest since October 2014, according to the latest Cass Intermodal Price Index, which measures all-in per-mile costs.
Rates had fallen for the previous 21 consecutive months leading up to modest 0.4 percent and 0.3 percent increases in October and November, and a 1.5 percent uptick in December.
The continued negative growth in rates was a record for the index, which was created in 2005. The previous record decline was set in the 13 months from December 2008 through December 2009.
Intermodal rates fell 0.7 percent from the previous year in September 2016, 2 percent in August, and 2.4 percent in July.
Despite the recent growth in pricing, and a recovery in diesel fuel prices from early 2016 lows, “we do not expect a significant amount of sequential strength from intermodal,” analysts from investment firm Avondale Partners said.
“But the current level of demand and pricing will produce a positive YoY comparison for the next 9 to 10 months,” they added.