U.S. DOT reports decrease in freight for August

| 10/9/2006

The total amount of freight hauled in the U.S. by trucks, trains and planes took its biggest plunge in five years in August, according to the U.S. Department of Transportation.

The DOT reported that freight volume dropped 3.2 percent from July to August.

The Houston Chronicle quoted industry analysts as saying the auto and housing industries are both soft right now, and that last year, freight volume was artificially increased by all the supplies hauled for Hurricane Katrina relief.

Donald Broughton, a transportation equity analyst with A.G. Edwards and Sons, told Land Line Magazine that freight demand was down 2.9 percent in August compared to August 2005. He also pointed out that truck fleets have grown 2 to 3 percent in the past 12 months, contributing to the soft freight prices in trucking.