Annual bids are exceptionally important to shippers to set their plans and budgets, but all too often they are poorly executed and create problems for both shippers and carriers that persist throughout the year.
The DAT iQ analytics team takes a weekly look at how the freight markets are responding to the COVID-19 crisis, offering updates on supply and demand, pricing, plus a detailed look at DAT iQ forecasting models and how they are reacting to the business climate.
This week, DAT Chief of Analytics Ken Adamo speaks with Chris Caplice; Chief Scientist at Chainalytics, Executive Director of Center for Transportation and Logistics, and Senior Research Scientist at MIT. Chris will be transitioning to DAT as part of the recent FMIC acquisition. Watch Ken and Chris discuss further in this interview.
As we wrap up the month of May and roll into June, it becomes much more evident that the freight markets are soundly in recovery mode. Most of our key indicators are tracking towards 2019 levels and testing where they sat before COVID-19 hit the U.S.
COVID-19 has dealt a heavy blow to trucking companies. With large swaths of the economy closed, demand for truckload shipments has plummeted, and carriers have found themselves on the wrong side of a supply and demand imbalance.
Recent news has been all about the downturn in freight volumes, and the lower rates that accompany smaller volumes. Whenever freight markets go soft, we analysts like to look at changes that can help pull us out of the current pattern. In the midst of much gloom about the freight marketplace, we look for some positives that can help us through the next couple of months.