Highlights of Monday’s SONAR reports are below. For more information on SONAR – the industry’s fastest freight forecasting platform – or to request a demo, click here. Be sure to stop by too the latest SONAR update, TRAC — the most recent industry spot rate data.
Market Dashboard Plus+ and National Truckload Index Forecast released during F3.
In case you missed last week’s hottest freight event, Day 1 of FreightWaves’ F3: Future of Freight Festival included Peter Zeihan chronicling the collapse of globalization and Manti Te’o opening up about his public struggle in 2013. FreightWave’s SONAR also unveiled a new feature, Market Dashboard Plus+, which is revolutionizing the land transportation industry by providing simultaneous insight into real-time spot and contract rates.
On Day 2 of F3, Spencer Frazier, Executive Vice President of Sales and Marketing at JB Hunt, addressed a crowd from the main stage on the disruptions in the supply chain, followed by another SONAR release, the National Truckload Index Forecast, a high-frequency forecast Tool designed to help industry professionals better prepare for future transportation costs.
Market Dashboard Plus+
Market Dashboard Plus+, the powerful tool for price managers, now allows users to compare multiple TRAC spot and contract prices side by side – no more searching one by one.
How does it work? Market Dashboard Plus+ subscribers just need to download a template from the top right corner and open the Numbers application where users enter origin and destination zip codes to categorize them as a lane ID, and finally enter the mileage and device type.
The documents are then uploaded to the top right corner of Market Dashboard Plus+ to be registered and translated into the record.
This new capability provides detailed and up-to-date visibility to make the best decisions for transportation companies on the shipper, carrier or broker side of the industry.
National Truckload Index forecast
FreightWaves’ National Truckload Index Forecast is a 60-day forecast of national average spot rates and will enable professionals on all sides of the transportation equation to assess their operating costs and make intelligent decisions to adjust for the volatility of the current market.
When spot market prices rise, there is less available capacity relative to demand, but when prices fall, this is an indication that capacity is becoming easier to book and service should improve without long-term contract rates going up be pressed.
NTI as a reference point
The National Truckload Index is a daily look at how spot rates are holding up in specific lanes compared to the national average, giving truckers and brokers an idea of which lanes to lean toward or avoid.
Market observation for November 7th:
Demand for outbound truckloads from Southern California is finally leveling off after a sharp decline as imports into the Port of Long Beach hit lowest levels since 2019.
Truckload volume leaving Ontario, California, fell 4.5% from Oct. 25-30 and then took a nosedive in the first week of November. Ontario’s Outbound Tender Volume Index fell 66 points, or 15.5%, to 357.70 since Oct. 30 — the lowest level since April 2020.
Rejection rates have changed little during the decline in volume. Ontario’s Outbound Tender Reject Index is just 35 basis points higher at 2% after hitting its lowest level since 2020 in late October.
The decrease in truckload volume coincides with a decrease in imported container volumes to the Port of Los Angeles and the Port of Long Beach in particular.
U.S. Customs sea import shipments on Friday fell 26.3% in Los Angeles and 28.6% in the Port of Long Beach over the same period. However, spot rates per 40ft container rose sharply when volumes started to collapse but have since fallen off a cliff.
The last few weeks of October have been relatively flat with little sign of change, raising the question of whether spot rates have finally found a bottom or are just slipping before embarking on a further decline. After a sharp surge in spot rates from China to the US, it took only a few days for spot rates to fall off a cliff again, marking new lows for the cycle.
The Freightos Baltic Daily Index saw spot rates from China to the US West Coast rise $556.46 last Tuesday before falling $1,010.68 to $1,949.64 through Friday. East Coast China, on the other hand, rose $1,657.38 on Tuesday before falling $2,171.09 to $5,135.09 on Friday.