FTR’s Trucking Conditions Index for February, as reported in the April 2012 Trucking Update, eased very slightly in February to a reading of 5.9. FTR says it is forecasting the February reading to be the low point for 2012 with strong month-over-month increases throughout the remainder of the year.
FTR says trucking freight volumes are expected to grow at rates topping 4 percent, and the company says this will put pressure on available capacity allowing trucking companies to maintain or even raise rates.
“February is normally the softest month of the year in terms of trucking demand,” says Larry Gross, FTR senior consultant. “Reasonably favorable conditions for truckers during the winter slack season bode well for later in the year, as demand increases seasonally to more normal levels. We expect pricing power to remain squarely on the side of the carrier in 2012.”
The Trucking Conditions Index is a compilation of factors affecting trucking companies. Any reading above zero indicates a positive environment for truckers with readings above 10 a sign that volumes, prices and margin are in a solidly favorable range for trucking companies.