by Bill McBride on 7/27/2015 01:55:00 PM
Monday, July 27, 2015
Here is an indicator that I follow on trucking, from the ATA: ATA Truck Tonnage Index Fell 0.5% in June
American Trucking Associations’ advanced seasonally adjusted For-Hire Truck Tonnage Index decreased 0.5% in June, following a revised gain of 0.8% during May. In June, the index equaled 131.1 (2000=100). The all-time high of 135.8 was reached in January 2015.Click on graph for larger image.
Compared with June 2014, the SA index increased 1.8%, which was above the 1.5% gain in May. Year-to-date through June, compared with the same period last year, tonnage was up 3.4%. ...
With flat factory output and falling retail sales, I’m not surprised tonnage was soft in June,” said ATA Chief Economist Bob Costello. “I also remain concerned over the elevated inventory-to-sales ratio for retailers, wholesalers, and manufacturers, which suggests soft tonnage in the months ahead until the ratio falls.
“I remain hopeful that the inventory correction will transpire this summer. When the correction ends, truck freight – helped by better personal consumption – will accelerate,” he said.
Here is a long term graph that shows ATA's For-Hire Truck Tonnage index.
The dashed line is the current level of the index.
The index is now up only 1.8% year-over-year.
Posted by Bill McBride on 7/27/2015 01:55:00 PM