FTR’s Shippers Conditions Index (SCI) rose in May to 8.6 from a 7.1 reading in April. The environment for shippers was moderately more favorable in May due to lower fuel costs and freight rates along with slightly weaker freight volume. The outlook is positive through mid-2024, FTR said.

“The Shippers Conditions Index rose in May as it became more obvious that there would be abundant capacity available in the system for longer during 2023,” said Todd Tranausky, vice president of rail and intermodal at FTR. “While there are signs that capacity may be as loose as it is going to get, economic uncertainty could keep some shippers on the sidelines as they weigh their own inventory situation.”