Truckload pricing grew just 0.4 percent for the month compared to January 2015, the fifth consecutive month of waning increases, according the latest Cass Truckload Linehaul Index.
Truckload rates increased just 0.4 percent in January 2016 compared to the previous year following a year-over-year increase of 1.1 percent in December, according to the latest Cass Truckload Linehaul Index.
Transportation intelligence analyst Cass Information Systems Inc. has previously attributed the continued the steady growth in rates, which have now increased in each of the last ten months, to higher contract rates, which have been steadily integrated into the index over the course of the year. However, that growth rate has been waning for the past five months, Cass noted.
Year-over-year truckload rates grew 1.6 percent in November, 1.9 percent in October, 3.2 percent in September, 3.7 percent in August, 3.6 percent in July and June, 3.5 percent in May, 3.8 percent in April, and 5.1 percent in March.
Investment firm Avondale Partners said that “softening demand and increasing capacity are posing downside risks to their previously forecasted 1% to 3% increases this year.
Avondale also noted other factors providing downward pricing pressure, including carrier bankruptcies at historic lows, truck counts up by single digits and the relaxation of the of the 34 hour restart rule.
Truckload rate growth continues to slow in January
