On the Front
Category: Tightening Capacity
The recent load to truck ratio hit a two-year high indicating further that TL capacity is tightening up. As we've mentioned before, the DAT Solutions metric is a good indicator of the state of the market. If you explore the trendlines in more detail you can find certain markets that are tougher than others - like outbound Texas. http://www.dat.com/resources/trendlines/van/demand-and-capacity We are also noticing a very strong change in direction from the LTL carriers. You may recall in our last post we mentioned increases are being requested at higher %'s, which is a clear indication pricing power has shifted. In addition - they are getting far smarter in what they are handling and making it clear that there is certain freight they will not handle at a cheap price. I met with a large, national LTL carrier at their headquarters just last week. They told me they are handling around 50,000 shipments a day and are not looking to increase that number.