September 2017 marked the twelfth consecutive month of rising intermodal rates as hurricanes Harvey and Irma contributed to a 12-14 percent increase in diesel prices, according to data from the latest Cass Intermodal Freight Index report.
Intermodal rates rose in September as the hurricanes impacted diesel prices.
Intermodal pricing in September 2017 rose for the twelfth consecutive month, according to the latest Cass Intermodal Price Index report.
Rates increased 4 percent year-over-year, driven by the “hurricane refining crunch which has pushed diesel prices up by 12 to 14 percent in the last two months,” said Cass. September marked the twelfth consecutive month of increases, and pricing momentum appears to be accelerating.
Donald Broughton of Broughton Capital, who analyzes the data for Cass, said he expects the intermodal rate index to exceed March’s peak of 135.4 by the end of the year. Longer term, Broughton continues to foresee oil trading in the $45 to $55 per barrel range and diesel in the $2.25 to $2.75 range throughout 2017.