truckload capacity

Could intermodal be capping the truckload market’s potential breakout?

Spot and tender rejection rates point to a strong tightening in the national truckload market. Is this the end of the freight market recession?

Truckload contract rates are starting to move higher in an environment where they have every reason to continue to fall.

The wide range of spot and contract rates being offered may help trigger a strong market shift later in the year.

Even as carriers’ pricing power deteriorated, freight demand was consistently robust throughout February.

The early stages of this recovery are characterized by a rebalancing market, a return to normalcy after a four-year roller coaster of volatility.

The sustained imbalance between supply and demand has yet to be corrected, such that only an unprecedented tidal wave of demand could satisfy the current amount of capacity in the national freight economy.

Pace of carrier exits needs to speed up to achieve economic balance in the truckload sector, according to RXO Chief Strategy Officer Jared Weisfeld.

Removing future threats to demand, the refrigerated truckload sector supports the thesis that the truckload market has hit a floor.

There are some positive signs that the freight market has cleared most of the post-pandemic rubble, but full recovery is still a ways off.

Falling spot rates, falling contract rates and falling revenues create rising stress and blood pressure in truckload operations teams.

Strangely enough, tender volumes are abiding by seasonal trends. The first quarter of 2022 was unusually active as shippers tried to get ahead of disruptions to capacity, which historically tightens in the spring.

With the inflation-squeezed consumer running through their discretionary budgets, freight demand is in a precarious state.

Consumers’ appetite for discretionary spending has been usurped in favor of squirreling away income into personal savings.

Volumes have continued their recovery from the winter holiday season with a surge in pent-up freight demand unleashed into the market. Naturally, since last week’s data was affected by holiday noise, the Outbound Tender Volume Index (OTVI) faces some absurdly easy comps on a weekly basis. Even still, accepted tender volumes remain below their levels of 2021 and ’22 for the time being. 

Volumes have continued their recovery from the winter holiday season with a surge in pent-up freight demand unleashed into the market. Naturally, since last week’s data was affected by holiday noise, the Outbound Tender Volume Index (OTVI) faces some absurdly easy comps on a weekly basis. Even still, accepted tender volumes remain below their levels of 2021 and ’22 for the time being. 

For all intents and purposes, the month of December has only three weeks of freight activity, as the final week from Christmas to New Year’s is effectively null. In years prior, freight demand has fallen throughout the month before bottoming out in that final week. So far, December looks to be following seasonal trends, which is to say that, while shippers’ activity is winding down, this movement is not alarming by itself. Rather, the gap in freight demand between 2022 and ’21 (or even ’20) is the main symptom of current ailments.

For all intents and purposes, the month of December has only three weeks of freight activity, as the final week from Christmas to New Year’s is effectively null. In years prior, freight demand has fallen throughout the month before bottoming out in that final week. So far, December looks to be following seasonal trends, which is to say that, while shippers’ activity is winding down, this movement is not alarming by itself. Rather, the gap in freight demand between 2022 and ’21 (or even ’20) is the main symptom of current ailments.

Contrary to popular opinion, December is not a peak season for freight. True, the freight that needs to be moved in this month typically has greater urgency than usual, which does put upward pressure on carrier rates. But peak truckload volumes are largely influenced by maritime imports, which historically peak between July and September.

Historically, November is the month in which maritime imports begin to move inland for their final push before the holiday shopping season. Yet such imports were lost at sea this year, failing to materialize during ocean shippers’ peak season. This one-two punch of weakened import volumes and overstocked retail inventories means that carriers are left with fewer opportunities to source freight.

A rail strike could lift spot truckload prices and support a market that’s been soft, sources said. But should a strike continue, expect congestion and higher costs.

Historically, November is the month in which maritime imports begin to move inland for their final push before the holiday shopping season. Yet such imports were lost at sea this year, failing to materialize during ocean shippers’ peak season. This one-two punch of weakened import volumes and overstocked retail inventories means that carriers are left with fewer opportunities to source freight.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Trucking executives are hopeful the first half of 2023 brings a cycle recovery.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Hurricane Ian boosted spot rates in the southeast over the past 10 days, but as rejection rates and volumes decline, when will spot rates on a national level take another step lower.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Contract and spot rates continue their downward trend despite volume levels and rejection rates flattening out…

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

Since the pandemic started, many shippers found their existing contracts unable to ensure carrier compliance. Supply and demand were especially volatile, and so spot rates, which are more sensitive to changing market conditions, handily outpaced contract rates.

In the nine days since July began, OTRI fell 141 basis points (bps) to its lowest level in over two years: 6.7%. In the three days following that bottom, OTRI clawed back 50 bps. At present, however, it seems as though any upward momentum upon which it could have built has been lost.

Volume levels are depressed this week by Monday’s holiday. The national average rate of tender rejections sunk below 7% late in the week, but linehaul spot rates…

Volume levels have made a final push before the second quarter ends. The national rejection rate has recovered from its earlier dip below 8%…

Volume levels have restarted their decline, as have spot rates. The national rejection rate has fallen below 8%…

Volume levels have restarted their decline, as have spot rates. The national rejection rate has fallen below 9%…

Volume levels have restarted their decline, as have spot rates. The national rejection rate has fallen below 9%…

Volume levels have restarted their decline, as have spot rates. The national rejection rate has fallen below 9%…

Volume levels have restarted their decline, as have spot rates. The national rejection rate has fallen below 9%…

Volume levels have restarted their decline, as have spot rates. The national rejection rate has fallen below 9%…

Volume levels have restarted their decline, as have spot rates. The national rejection rate has fallen below 9%…

Volume levels have restarted the decline after recovering after Easter Weekend. The national rejection rate has fallen below 9%…

Tender volumes and tender rejection rates are both on a rapid decline, signaling trouble for the truckload market. Carriers and shippers alike will need to…

Heavily contracted carriers are not feeling the full brunt of the truckload market easing just yet, but there is still a lot to be determined about what happens next.

Spot rates continue the rapid descent as truckload capacity continues to loosen rapidly. At the same time, accepted tender volumes turn…

Tender rejection rates are rapidly headed toward single digits, causing spot rates to resemble a black diamond slope rather than the bunny…

Tender volumes and tender rejection rates are both on a rapid decline, signaling trouble for the truckload market. Carriers and shippers alike will need to…

Tender volumes and tender rejection rates are both on a rapid decline, signaling trouble for the truckload market. Carriers and shippers alike will need to…

FreightWaves Founder and CEO Craig Fuller provides further analysis regarding the decline in the freight market.

Truckload capacity has been extremely difficult to secure over the past 18 months, but the tender data shows things may be changing, rapidly.

Both tender volumes and tender rejection rates take a breather over the past week. It’s too early to be called a trend but definitely…

Craig Fuller analyzes the state of the U.S. truckload market.

Both tender volumes and tender rejection rates take a breather over the past week. It’s too early to be called a trend but definitely…

Both tender volumes and tender rejection rates take a breather over the past week. It’s too early to be called a trend but definitely…

Tender volumes recover most of last week’s decline while rejection rates continue their slow downward trend despite contract rate increases…

“There’s no other solution out there that has done this,” said Parade CEO and co-founder Anthony Sutardja. “We have really led the way in defining digital bidding and digital booking across our partner capacity networks.”

Tender volumes take a February nap, sliding 4% over the past week while rejection rates were flat despite weather affecting certain markets..

Tender volumes continue to outperform year-ago levels. Rejection rates have declined throughout the past week as carriers return to major…

Tender volumes continue to outperform year-ago levels. Rejection rates have declined throughout the past week as carriers return to major…

Tender volumes continue to outperform year-ago levels. Rejection rates have declined throughout the past week as carriers return to major…

Tender volumes continue to outperform year-ago levels. Rejection rates have declined throughout the past week as carriers return to major…

Tender volumes continue to outperform year-ago levels. Rejection rates are continuing to rise in a unseasonable pattern placing pressure…

Rates reach new highs as capacity was slow to return to the road following the holidays. Tender volumes are soaring as demand is unrelenting…

Truckload volumes are beginning to erase holiday noise associated with Christmas and New Year’s. Rejection rates are staying elevated…

After a year of record revenue, carriers are staying of the road during the holiday weeks, holding rejection rates higher for longer…

Rejection rates are now back above 22%, the highest level since early September. Pricing power moved further to carriers despite the holiday related tender volume collapse.

Rejection rates have surged past the 21% level on the national level. Meanwhile, volumes have turned positive year-over-year. The combination of tightening capacity and stronger demand is placing upward pressure on rates.

Volumes turn downward heading into the Christmas week while rejection rates have rebound back above 20%. Carriers still maintain a firm grip on pricing power in the market.

Volume levels are following a similar trend to 2019, just 40% higher. Tender rejection rates are trending sideways, likely to move higher over the next week.

Southern California is the main entry point for imported goods in the U.S. Congestion around rail ramps and deteriorating service pushed shippers to trucking over the summer, but that trend is reversing as truckload costs soar out of the West.

Tender volumes decline but remain elevated compared to ‘normal years’ meanwhile rejection rates have found footing around 20%.

Tender volumes decline but remain elevated compared to ‘normal years’ meanwhile rejection rates have found footing around 20%.

Truck broker Landstar System announced Wednesday it will use 2021’s record performance to pay shareholders a $2-per-share special dividend.

Tender volumes have started to erase the Thanksgiving noise. At the same time, rejection rates have plateaued around the 20% mark.

Thanksgiving noise continues to mask freight volumes, but that noise will be erased in the upcoming days. Meanwhile, Thanksgiving drove spot rates higher over the past week.

J.B. Hunt transload service starts as shippers deal with intermodal and port congestion J.B. Hunt Transport Services has started a transload service in the New York metro area. In a […]

Long-haul freight typically shrinks around the holiday season as fulfillment becomes a priority. The exact opposite is occurring this season, which may be indicative of shipper overcorrection.

Thanksgiving always leads to a sharp decline in tender volumes. Leading into Thanksgiving freight markets experienced an uptick in accepted volumes.

Spot rates didn’t experience the uptick that rejection rates did last week. Thanksgiving is impacting both freight volumes and capacity.

The refrigerated truckload sector’s capacity recovery has stalled this fall while van has continued to stabilize. Here is the reason.

Rejection rates have accelerated over the past week as drivers start to come off the road for the holiday.

Volume growth dissipates to kick off November while rejection rates remain well below year-ago levels.

The trucking spot market is showing signs of softening in a somewhat unexpected time. Should shippers breathe a sigh of relief or is this the calm before the storm?

Volume growth dissipates to kick off November while rejection rates remain well below year-ago levels.

FreightWaves adds spot rate data and a new market analytics application inside its SONAR platform.

Volume growth dissipates to kick off November while rejection rates remain well below year-ago levels. Tightness in Southern California will put upward pressure on rates.

Volume growth dissipates to kick off November while rejection rates remain well below year-ago levels. Tightness in Southern California will put upward pressure on rates.

Tender volumes rebound as tender rejection rates jump back over 20%. Meanwhile, spot rates break the three-week downward decline.

Load volumes are stable with volume growth inbound. Spot rates follow rejection rates on a downward slide.

Load volumes are stable with volume growth inbound. Spot rates follow rejection rates on a downward slide.

Freight volumes in the largest markets are starting to accelarting, signaling the start of the peak truckload season.

Freight volumes in Southern California are starting to ramp, signaling the start of the peak truckload season.

Elevated accepted tender volumes and rates signal that carriers are maintaining pricing power. Truckload capacity constraints are easing as contract rates climb.

Strong freight volumes signal that carriers are firmly in the driver seat with regards to pricing power.