Graphics: CASS INFORMATION SYSTEMS
North American freight volumes bounced back in August from a normal July dip, but did not cause a similar increase in freight spending, according to the latest Cass Freight Index. Compared to July, spending was down slightly.
August shipment volume increased 2.3 percent, reversing some of the previous month’s 3.9 percent slide. August shipments are 4.9 percent higher than a year ago and are up 13.9 percent in 2014.
Among the key indicators, as noted by Rosalyn Wilson, a supply chain expert and senior business analyst with Parsons, the Institute for Supply Management’s August PMI rose 3.3 percent to 59, the highest level since March 2011’s 59.1, indicating that domestic manufacturing is continuing to gain strength.
Also, American Trucking Association reported that July tonnage was up, and their seasonally adjusted Truck Tonnage Index was just 0.6 percent lower than the all-time high in November 2013.
At the same time, the Association of America Railroads reported that the average weekly U.S. rail volume, in terms of carloads plus intermodal containers and trailers, was higher in August 2014 than in any month since October2007.
The August freight expenditures index, however, dipped 0.3 percent as rates remain “stubbornly flat,” Wilson notes.
