Tuesday, May 14th, 2024

HERE IS WHAT WE ARE PUMPING OUT THIS WEEK: 

• What’s happening in the spot market
• CVSA Inspection Week is here!
• Overcapacity and the state of freight 
• Florida sees spot rates climbing

SPOT MARKET INSIGHTS 🔎

Dry Van

National Average $1.87

Reefer

National Average $2.38

Flatbed

National Average $2.43

The average is calculated across all lengths of haul

AUTHORITIES AND VOLUMES 🔊

• ↘️ ~ 185 Carriers left the market last week 
  • 🤯 We are still + 90K carriers vs. pre-pandemic numbers 
• ↗️ Tender Volume is up
• 😕 3.37% Contract Load Rejection 
  • *This is the % of contract loads entering the spot market

FROM THE PUMPS ⛽️

• ⛽ National Average $3.99 / Gal. (5.10.2024)
• 📅 Diesel Fuel Price is somewhat stable at around $4 / Gal.
• 💸 Most Expensive Fuel: $5.12 / Gal. in California
• 🌊 Cheapest Fuel: $3.55 / Gal  in the Gulf Coast region

99 PROBLEMS AND DOT DOESN’T HAVE TO BE ONE, via Mutha Trucker & DOT Coach ( 🙌 )

• 🚛 Tractor Protection System:
  • Chock those wheels because they will ask you to release all brakes
  • Remove gladhands (point them away from you) and allow air to escape 
  • The supply line should have at least 20 PSI remaining 
  • The inspector might ask for a full-service brake application 
    • Again, they are listening for leaks from airlines 🌬️
• 🍺 Drug and Alcohol checks mean: 
  • Your cargo and cab can be checked when it’s directly related to safe operation
    • Think about ELD, gauges, engine lights, etc. 
  • 🛏️ Pack your pillows and blankets if you use the sleeper berth

🔊 EMPWR YOUR VOICE 🔊

OVERCAPACITY AND FREIGHT RATES

FTR held a state of freight webinar on May 8th, and it did not disappoint in covering a broad range of topics, including over-capacity and GDP. 

Here is what you need to know: 

• New carriers entering the industry are less than those exiting 
• Insurance rates have been steadily increasing 
• Medium and heavy duty truck inventory is high in dealer lots 
• Consumers are still spending | How much? 👇 (hopefully you called your mom)

• Trucking was flat last year and much of this year, so far……….
  • BUT all signs point to a stronger market next year
• Contract rates have bottomed out 
• Vocational and day cabs (LTL) are outselling OTR trucks at the dealerships

IN THE HEADLINES 🗞️

SPOT RATES HIT NEW HIGHS IN FLORIDA 

• The soft truckload market sees a spike in spot rates for produce loads 
• ⏲️ Time is of the essence with deliveries; get ready to navigate and deliver in narrow windows 
• Dept. of Agriculture is reporting a 58% increase in spot rate to haul from Flordia to Chicago: $2,147 in early April to $3,400 more recently 
• 🍉 🥔 🌽 🍅 🌶️ are the majority of what’s moving according to USDA

C.H. ROBINSON LEVERAGES AI TO PROVIDE SPOT QUOTES

• The 3PL giant reports responding to 2,000 quotes daily using an LLM 
• This type of machine-generated quote uses large datasets to generate responses 
• This might be the start of a growing trend of brokerages adopting AI technologies 
• Carriers will have to start to contend with machine-led spot quotes 
  • 🤖 truckers will soon need their own robots soon

J.B. HUNT SHOWS SAFE DRIVERS SOME LOVE

• 54 drivers were rewarded in May for driving 1 million + miles safely 
• $750 000 in bonuses were paid out this year 
• Since its launch in 1996, 5000 drivers have received the reward

WISDOM FROM THE ROAD 🧠

“New drivers need to understand you steer with your hands but drive with your ass and feet. Meaning you need to learn the feel of driving and when things don't feel right for the conditions you are driving in.”-u/MrB-63, via Reddit

EMPWR INSIGHTS 🔎

What's your strategy when your loadboard goes down?