BLOOMINGTON, Ind. – Conditions for shippers continued to improve in November, with softening rates and lower fuel prices.
November marked the first positive reading to the FTR Shippers Condition Index in more than two years, and the best since August 2016. FTR expects the index to remain in neutral territory through 2019. However, if freight demand weakens further and strong truck buying continues, rates could be pushed lower.
“Conditions have improved noticeably for shippers in the last few months,” said Todd Tranausky, vice-president of rail and intermodal at FTR. “The prospect of sustained lower fuel prices, increasing capacity in the truck and rail sectors, and the first signs of a turn in rail service raise the prospect of a much better 2019 than shippers expected during much of 2018.”