FTR’s Trucking Conditions Index Stabilizes in May

FTR’s May Trucking Conditions Index remained basically flat month-over-month with a reading of 7.3, appearing to have stabilized in solidly positive territory after April’s sharp one-month drop in response to softened economic conditions.

The Trucking Conditions Index is a compilation of factors affecting trucking companies and has remained in positive territory for the past seven months. Any reading above zero indicates an adequate trucking environment, with readings above 10 a sign that volumes, prices and margin are in a good range for trucking companies.

“The leveling off of the TCI after only a one-month decline is an encouraging sign,” said Eric Starks, President of FTR. “The trucking industry appears to be negotiating the economic ‘soft patch’ in good fashion. Although we have moderated our expectations with regard to the industry’s ability to raise rates later this year, the overall environment remains favorable, and we expect the TCI to resume its improvement trend shortly”.

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