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The end of October brought a surprise to shippers and brokers posting loads on TransCore's load boards unrelated to Halloween: a 20 percent month-over-month increase in truck postings. This loosening of capacity was buttressed by another record: the highest number of load searches on the DAT Network by carriers since the first half of 2009. Increased load searches translates to shippers and brokers receiving more calls from carriers inquiring about moving that freight.
As evidence of the capacity increase, TransCore's Truckload Rate Index showed a decline in the 30-day rolling average spot market rates for all equipment types in October, widening the gap between rates paid by brokers and those paid directly by shippers.
However, the good news on October's capacity is not expected to be long-term. The projected impact of the new carrier safety regulations the Federal Motor Carrier Safety Administration will implement in December - known as CSA 2010 - causing a potential driver shortage combined with a rebounding economy are expected to cause capacity constraints in 2011 as well as a rebound in rates.
In other words, enjoy it while you can.
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