FTR’s Shippers Conditions Index (SCI) for December improved from the November -9.0 reading to -6.9 primarily due to a drop in fuel prices during the month. Even though lower fuel costs helped shippers in December, they will be a significant near-term negative as diesel prices surged in January. Fuel costs aside, the outlook is for a very gradual improvement in the Shippers Conditions Index.
The February issue of FTR’s Shippers Update, published February 7 provides a detailed analysis of the factors affecting the December Shippers Conditions Index and provides the forecast for this index through December of 2022. The February issue also includes an analysis of U.S. employment and what it means for the transportation industry.
The Shippers Conditions Index tracks the changes representing four major conditions in the U.S. full-load freight market. These conditions are: freight demand, freight rates, fleet capacity, and fuel price. The individual metrics are combined into a single index that tracks the market conditions that influence the shippers’ freight transport environment. A positive score represents good, optimistic conditions. A negative score represents bad, pessimistic conditions. The index tells you the industry’s health at a glance.