Flatbed capacity demand balance at long-term average for year-end   

Morgan Stanley's flatbed freight index continues to fall, and capacity demand balance is now about normal relative to historical patterns. Capacity had eased early in the second quarter but tightened significantly coming out of Q2. The index softened through Q3 and into Q4 and ended the year below the 2010 line and very near the longer term average. The flatbed market was particularly hard hit by the fall off in housing starts, but gained 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 Greene at William.Greene@morganstanley.com