The much-anticipated rebound in demand for freight services in the second half of the year may be a bit farther off, says The Wall Street Journal.
Freight and logistics operators are starting to dial back their expectations for a recovery in time for the traditional fall peak shipping season, as retailers signal more caution in an uncertain consumer economy and volumes moving through supply chains tail off more than anticipated.
Big shippers including Nike, Target and Kohl’s remain guarded in ordering from suppliers as they continue to dig out from a glut of inventory. Nike says paring inventories remains a “top priority” as the sportswear apparel supplier focuses on improving its financial picture.
Logistics executives have projected a recovery as supply-chain disruptions have eased and companies return to more traditional inventory replenishment cycles. Several say they remain optimistic, but note the broader economy looks increasingly uncertain.
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