Demand for truckload shipments faced off against capacity shortfalls, boosting truckload rates to new heights on the spot market in June 2018, according to DAT Solutions, which operates a load board marketplace.
Rates for spot market transactions matched longer-term contract rates for dry van equipment, while spot refrigerated and flatbed rates exceeded contract rates as a national average.
“June capped an unprecedented 15-month run of spot market rate increases, the longest sustained period of pricing power for truckers since deregulation,” said Mark Montague, pricing analyst at DAT. “While contract rates typically rise after a sustained increase in spot market rates, there is usually a lag of four to six months. This year, that lag time is reduced to a few weeks.”
Contract rates rose 19% for vans compared with June 2017, but spot market rates were up 29% during the same period.
Spot van rates hit $2.32 per mile, and rates paid to carriers by freight intermediaries matched the longer-term contract rates paid by shippers directly to carriers.
Spot reefer and flatbed rates both exceeded the comparable contract rates, as reefer rates climbed 16 cents to $2.69 and flatbeds added 10 cents to $2.82, versus the national averages for May.
Compared with June 2017, spot van rates soared 52 cents per mile, reefers surged 58 cents and flatbeds shot up 65 cents.
Freight availability on DAT load boards also set a new record, as the DAT North American Freight Index advanced 9.3% month over month, and gained 18% from June 2017.
Transportation brokers, carriers, news organizations and industry analysts rely on DAT for market trends and data insights derived from 270 million freight matches (2018 estimate) and a database of $57 billion in annual market transactions. Related services include a directory of companies with business history, credit, safety, insurance and company reviews; broker transportation management software; authority, fuel tax, mileage, vehicle licensing, and registration services; and carrier onboarding.
Go to www.DAT.com for more information.
