DAT Truckload Volume Index: Freight volumes cooled in September
19 October 2023 - 6:09AM
Business Wire
Truckload freight volumes cooled in September, compounding an
already difficult quarter for truckload carriers and freight
brokers, said DAT Freight & Analytics, which operates the
industry’s largest online freight marketplace and DAT iQ data
analytics service.
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DAT Truckload Volume Index: Freight
volumes cooled in September (Graphic: DAT Freight &
Analytics)
Seasonally declining shipments of retail goods and fresh produce
decreased demand for truckload services last month. The DAT
Truckload Volume Index (TVI) fell for all three equipment types in
September:
- Van TVI: 230, 5.7% lower compared to August
- Refrigerated TVI: 167, down 6.2%
- Flatbed TVI: 245, down 9.3%
Van and refrigerated (“reefer”) indexes were almost 7% lower
than in September 2022. The flatbed index was 2.1% higher year over
year.
Spot rates dipped to mid-2020 levels
While volumes declined, diesel prices increased for the fourth
straight month. Spot line-haul rates, which subtract an amount
equal to an average fuel surcharge, dipped to their lowest points
since June 2020:
- Line-haul van rate: $1.56 per mile, down 1 cent
- Line-haul reefer rate: $1.92 a mile, down 2 cents
- Line-haul flatbed rate: $1.85, down 4 cents
DAT’s broker-to-carrier benchmark spot rates increased as
carriers negotiated to recover fuel expenses. The spot van rate
averaged $2.11 per mile in September, up 2 cents compared to
August; the reefer rate rose 1 cent to $2.52 per mile; and the
flatbed rate remained unchanged at $2.51 a mile.
Van, reefer ratios declined
DAT’s national average van and reefer load-to-truck ratios
slipped in September. Load-to-truck ratios measure the number of
loads posted to the DAT One marketplace relative to the number of
trucks. Changes in the ratio typically reflect the pricing
environment for truckload services on the spot market:
- Van ratio: 2.8, unchanged from August
- Reefer ratio: 3.4, down from 4.4
- Flatbed ratio: 6.9, up from 6.0
DAT benchmark rates for contracted freight rose slightly
compared to August. The contract van rate increased 2 cents to
$2.59 per mile; the reefer rate was up 2 cents to $3.01 a mile; and
the flatbed rate gained 1 cent to $3.20 a mile.
“Seasonality took hold in September,” said Ken Adamo, DAT Chief
of Analytics. “Retailers had not yet replenished inventory ahead of
the holidays, produce season was winding down and construction
shipments slowed. At the same time, there were no disruptive events
to push freight to the spot market. Hurricane season has been mild,
and our data showed the United Auto Workers strike had little
impact on freight movements in September.”
About the DAT Truckload Volume Index
The DAT Truckload Volume Index reflects the change in the number
of loads with a pickup date during that month; the actual index
number is normalized each month to accommodate any new data sources
without distortion. A baseline of 100 equals the number of loads
moved in January 2015, as recorded in DAT RateView, a truckload
pricing database and analysis tool with rates paid on an average of
3 million loads per month.
Spot truckload rates are negotiated for each load and paid to
the carrier by a freight broker. National average spot rates are
derived from payments to carriers by freight brokers, third-party
logistics providers and other transportation buyers for hauls of
250 miles or more with a pickup date during the month reported.
DAT’s rate analysis is based on $150 billion in annualized freight
transactions.
About DAT Freight & Analytics
DAT Freight & Analytics operates the largest truckload
freight marketplace in North America. Shippers, transportation
brokers, carriers, news organizations and industry analysts rely on
DAT for market trends and data insights based on more than 400
million freight matches and a database of $150 billion in annual
market transactions.
Founded in 1978, DAT is a business unit of Roper Technologies
(Nasdaq: ROP), a constituent of the S&P 500 and Fortune 1000
indices.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20231018639964/en/
Annabel Reeves Corporate Communications, DAT Freight &
Analytics PR@dat.com / annabel.reeves@dat.com; 503-501-0143
Stephen Petit SiefkesPetit Communications 425-443-8976
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