Recession Alert——Cass Truck Transportation Index in Freefall

The Cass Truckload Linehaul Index is down for the third consecutive month.

It’s a measure of market fluctuations in per-mile truckload linehaul rates, independent of additional cost components such as fuel and accessorials

The index fell another 1.2% year over year in May after declines of 0.6% and 2.3% in March and April respectively.

With three consecutive months of price declines, the domestic truckload market continues to face softer demand and excess capacity.

Csss 2016-06-21A

Cascass 2016-06-21A

Cass notes “Driver pay increases, overall fleet growth, reduction in carrier bankruptcies, and an easing of the 34-hour restart rule are some of the contributing factors.”

Cass Freight Index

The Cass Freight Index is a measure of North American freight volumes and expenditures.

That index is anemic compared to prior years.

cass 2016-06-21B

The freight index for every month this year is below the respective values for 2103, 2014, and 2015.

Mike “Mish” Shedlock