TL capacity continues to tighten   

Morgan Stanley's dry van truckload freight index indicates tighter than normal capacity for this time of year. The Q1 index has now risen well above the trucking boom years of 2004 and 2005. Capacity tightness is roughly equal to the level of Q2 2010, when capacity was tight and prices were rising. The index measures incremental demand for dry-van truckload services compared to incremental supply. The higher the index the tighter is capacity relative to demand when compared to a prior period. While capacity is not overly tight at this time, TL capacity is tightening sooner than we had expected.

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