BLOOMINGTON, Ind. – Trucking conditions improved slightly in June, but remain in negative territory, according to the latest FTR Trucking Conditions Index (TCI).
A reading of -0.82 came from strengthening freight demand and lower diesel prices, but was offset by weak truckload rates and reduced capacity utilization and higher finance costs. The index is expected to remain in low single-digit negative territory into 2020, with some positive readings possible this year.
“Although rates remain weak for carriers, they appear at least to be stabilizing,” said Avery Vise, FTR vice-president, trucking. “Meanwhile, freight demand appears firmer in recent weeks than in early spring, but the outlook is far from rosy given a softening industrial sector. Our biggest near-term concern, however, is the potential impact of the trade war with China on consumer spending and business investment.”