The official freight index, which measures freight movement in tons and ton-miles, reveals July freight moved upward for trucking, pipeline and water freight, enough to move the entire index up to reach a new all-time high.
According to the Bureau of Transportation Statistics of the U.S. Department of Transportation, the Freight Transportation Services Index for July rose 1.4 percent to 128.2. In June, the index fell 0.8 percent, after it reached an all-time high of 127.2 in May.
The July index is 33.3 percent above the low that was set during the recession in April 2009. TSI records began in 2000.
Trucking freight made a giant leap to 143 from 139.2, a significant increase of nearly 3 percent. Numbers from the American Trucking Associations reveal a tonnage increase of just 0.1 percent in July to 138.5 from 138.4 in June. ATA calculates the tonnage index based on surveys of its membership.
According to the DOT, the TSI’s upward movement comes amid other positive signals elsewhere in the economy. Employment and personal income both increased, while the Federal Reserve Board Industrial Production index grew by 0.4 percent, with gains in mining and utilities, according to BTS. The Institute for Supply Management’s Purchasing Managers’ Index also showed positive growth.
Copyright © OOIDA