FTR’s Trucking Conditions Index stayed in positive territory in June but weakened to 0.95 from May’s 2.24 reading.
Details matter, however, as core freight dynamics improved for trucking companies during June while higher financing costs and a slowing of diesel price decreases were substantial offsets, the firm reported. FTR expects general improvement in market conditions for carriers, but the TCI could see both positive and negative readings in coming months before turning “consistently positive” by the end of this year, according to its current forecast.
The TCI tracks the changes representing five major conditions in the U.S. truck market: Freight volumes, freight rates, fleet capacity, fuel prices, and financing costs. The individual metrics are combined into a single index indicating the industry’s overall health. A positive score represents good, optimistic conditions. Conversely, a negative score represents bad, pessimistic conditions.