According to American Trucking Associations’ Chief Economist Bob Costello, trucking’s “slow, and choppy climb off of the bottom continued in October.”
After hitting a low in January of this year, …”tonnage is up a total of 3%, plus the index is up sequentially in three of the last four months,“ Costello said, indicating that the freight market has improved – but very slowly – since January. It must be said that ATA’s indices are dominated by contract freight as opposed to spot rates.
Just a day ago, Covenant Logistics’ co-founder and CEO David Parker predicted that the peak season, which started a week ago, will see positive growth through the holiday season. This is the first time in three or four years that peak freight is trending upward.
Trucking economists are closely watching interest rate cuts. Traditionally, rate cuts presage an increase in buying by three to six months, which could mean a strong trucking uptick in March or April as both businesses and consumers are ramping up their purchasing. Trucking also serves as an economic barometer because trucks carry 72.6% of tonnage carried by all modes of domestic freight transportation, including manufactured and retail goods.
ICSA will continue to keep you informed on the economy as the U. S. transitions to a new president and administration.
No driver plans for a breakdown, but every driver should be ready for one. Mechanical issues, tire failures, or other unexpected problems can happen when you least expect it. Knowing how to safely bring your vehicle to a stop and protect yourself and others can help keep a minor inconvenience from becoming a serious incident.
For truckers, testing for marijuana continues. Just as with testing for cocaine, amphetamines, PCP, and opioids, testing for marijuana will continue to be conducted on a pre-employment, random, post-accident, reasonable suspicion, and return-to-duty basis.
As temperatures rise, so do the risks associated with tires, brakes, and overall vehicle condition. Summer heat doesn’t just stress drivers, it amplifies mechanical weaknesses, making maintenance and inspections more important than ever.