ARLINGTON, Va. –US truck tonnage dropped sharply again in October, marking the fourth consecutive month-to-month decline.
The index was down 3%, reaching its lowest level since October, 2003. The major drop followed declines of 1.9% in August and 0.8% in September, according to the American Trucking Associations, which tracks the figures.
The index was down 1.8% compared to October, 2007.ATA chief economist Bob Costello said the truck tonnage index is now down 6.3% over the last four months, reflecting the state of the US economy.
“October should be the busiest month of the year, but instead this October was a fizzle,” said Costello. “The latest truck tonnage drop suggests that retailers are very pessimistic for the holiday sales season.”
Costello also said the tonnage index is an indicator of further economic troubles in the US.
“The cumulative drop in truck tonnage over the last four months suggests that the economy is likely to contract substantially in the fourth quarter, at least 3%,” he said. •
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