Conditions Will Remain Stable In 2016, Says FTR
FTR Transportation Intelligence (FTR) recently issued a new report, forecasting trucking conditions for the year 2016. The new statistics were issued after the Trucking Conditions Index improved two points from December 2015 and reached 10.88 in January 2016.
Jonathan Stark, the chief operating officer at FTR, believes, “The trucking environment is still quite healthy,” and the industry seems to move forward at a better pace. He further added, “There is no doubt that growth has slowed for certain segments, and there are increasing uncertainties surrounding growth prospects for the U.S. economy.”
This means that trucking loading can be expected to continue growing at a stagnant pace of 3% for the upcoming year, but the research data also points out that conditions may heighten due to the decreased oil and fuel prices. This may come as good news for some carriers but will be an offset as it is most likely to decline spot market rates. But all in all, it will surely boost the nation’s economy by playing its part.
“Contract rates are still rising, albeit slowly, and there is very little capacity that is exiting the system,” said Stark. “Overall, the trucking industry seems to be in a relatively stable environment as we move into 2016.” – See more at: http://truckernews.com/conditions-will-remain-stable-in-says-ftr-p716-90.htm#sthash.1UgQmYx8.dpuf