Transportation TIP List: Week of March 4th, 2018
This past weekend, the movie industry’s most influential icons gathered at the Oscars to recognize the greatest films of 2017. And inspired by the Academy Awards, this week’s TIP List is presenting those supply chain and transportation trends that are currently most captivating – including big winners such as manufacturing’s recent growth and a spike in confidence for retail shoppers.
- Manufacturing Maintains Momentum in February: In a recent report, the ISM noted that the PMI came in at 60.8 in February – topping January’s 59.1 reading by 1.7%, and representing the 18th consecutive month of PMI growth. This is the highest PMI reading since May of 2004 when the PMI hit 61.4.
- Consumer Confidence Continues to be Strong in Retail Sector: The Conference Board’s consumer confidence index unexpectedly surged 6.5 points (5.2%) to 130.8, the highest level since November 2000. This gain in confidence was driven by improvement in consumer views of both the present situation and expectations.
- Amid U.S. Truck Shortage, Domestic Intermodal Demand Rising: Domestic intermodal shipment growth is expected to increase, while international intermodal shipment growth will likely slow – creating an overall tighter U.S. intermodal market for shippers.
- Spring Freight Season Signs: Where’s it Getting Hot and Where It’s Not: Spot market van rates have been in a slow decline for about seven weeks, but there are signs they could start to rebound. Some factors include stable pricing in many markets and the “phase-in” period for the ELD mandate ending on April 1st.
- Truckers Propose a Gasoline Tax Increase to Pay for Infrastructure Plan: Some trucking companies are pushing for higher fuel taxes because they worry the alternative would be more tolls, which truckers abhor. They face an uphill climb, as the last time there was a rise in gas taxes was in 1993.
What supply chain trends are you watching this week?