Flatbed capacity is tighter than normal to start 2011    

Morgan Stanley's flatbed freight index is holding steady from the end of 2010 and while far off the pace of Q2 2010, capacity is tighter than usual for January. This means that capacity is far more readily available at this time compared to Q2 but it is still a somewhat more tight capacity environment than at this time in previous years. The flatbed market was particularly hard hit by the fall off in housing starts, but has gained some ground with the growth in U. S. manufacturing. The index measures incremental demand for flatbed truckload services compared to incremental supply. The higher the index the tighter is capacity relative to demand when compared to a prior period.

Graph reproduced with permission from Morgan Stanley. For more information contact: Adam Longson at Adam.Longson@morganstanley.com or Bill Green at William.Greene@morganstanley.com.