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FTR’s Trucking Conditions Index for June stayed in positive territory, but weakened to 0.95 from May’s 2.24 reading.
“Today’s market might feel as weak as it has been, but we continue to see a growing foundation for a recovery in financial conditions for trucking companies. Strengthening capacity utilization sets the stage for firmer freight rates starting late this year and accelerating somewhat in 2025. Although nothing approaching the likes of 2021 is on the horizon, carriers should be seeing considerably more favorable conditions by next spring,” says Avery Vise, FTR’s VP of trucking.
Key takeaways:
- FTR expects general improvement in market conditions for carriers, but the TCI could see both positive and negative readings in the coming months before the index turns consistently positive by the end of this year, according to FTR’s current forecast.
- As core freight dynamics improved for trucking companies during June, higher financing costs and a slowing of diesel price decreases were substantial offsets.
