Truckload linehaul charges surged once more in September whereas cargo counts remained in optimistic territory, based on a month-to-month report from Cass Info Methods.
Cass’ TL linehaul index, which tracks charges excluding gasoline and accessorial surcharges, elevated 10.1% 12 months over 12 months, based on Tuesday information from the funds administration firm. The dataset was up 0.6% from August to the best absolute studying in 4 years.
The linehaul index is traditionally closely weighted to contract charges however consists of for-hire spot charges. September marked the twenty first straight month of y/y progress (12.9% larger on a two-year-stacked comparability).
The report famous the sequential progress price was 30 foundation factors under the year-to-date common. It cited a pullback in spot charges and fewer contractual bids “this time of 12 months.”
“Whilst spot charges gradual with modest sequential declines, the a lot bigger contract market remains to be adjusting larger.”
| September 2026 | y/y | 2-year | m/m | m/m (SA) |
| Shipments | 1.9% | -3.6% | 2.3% | 1.4% |
| Expenditures | 20.4% | 23.1% | 6.7% | 4.0% |
| TL Linehaul Index | 10.1% | 12.9% | 0.6% | NM |
Truckload carriers available at investor convention final month famous they remained ready of energy this bid season. Executives imagine that the capability exodus is rising, not slowing, and that the regulatory crackdown will probably take away hundreds extra unsafe operators. Administration groups had been additionally unfazed earlier this summer season when the spot market entered its typical seasonal slowdown.
Werner Enterprises’ (NASDAQ: WERN) third-quarter steering requires a ten% to 13% y/y improve in price per whole mile at its one-way fleet. Earnings season begins on Thursday when J.B. Hunt Transport Companies (NASDAQ: JBHT) reviews outcomes after the market closes.
Freight shipments recorded by Cass elevated 1.9% y/y in September. The y/y improve was the second consecutive following 42 months of declines. Shipments had been up 2.3% from August (1.4% larger seasonally adjusted).
All home transportation modes are included within the index, with TL and less-than-truckload shipments representing the majority of the dataset. Street-to-rail conversion has weighed on the trucking-centric index in latest months as gasoline costs have surged.
“With modest retail and industrial progress, and a few stock restocking as container imports surge, freight demand is recovering,” the report mentioned. “The mix of a smaller personal fleet and rising new gear gross sales additionally helps larger for-hire volumes.”
U.S. manufacturing exercise remained in optimistic territory for a ninth straight month throughout September. The Institute for Provide Administration’s Manufacturing PMI registered a 54.5 studying, with the brand new orders dataset logging a 55.3 studying. (A studying above 50 for the index indicators enlargement, whereas one under 50 signifies contraction.)
Cass’ shipments index is forecast to extend 4% y/y in October, assuming regular seasonal patterns maintain.
Cass’ expenditures index, which measures whole freight spend together with gasoline, jumped 20.4% y/y (up 6.7% sequentially). A rise in shipments, larger freight charges and surging diesel costs drove the index larger. Diesel costs had been up 68% y/y in September, 15% larger than August.
The expenditures index is anticipated to extend 23% y/y in October.
Knowledge used within the indexes comes from freight payments paid by Cass (NASDAQ: CASS). Cass processes $37 billion in freight payables yearly on behalf of shoppers.
Why it issues? September information from Cass highlights a continued surge in TL contract charges, with solely modestly bettering demand. The dataset confirms the influence strict regulatory enforcement is having on non-compliant capability.
Extra BigRig articles by Todd Maiden:
- Yellow Corp., Teamsters choose WARN Act claims
- LTL survey: Outdated Dominion, Daylight Transport take residence prime honors once more
- Transportation costs surge as capability tightens additional in September
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