According to FreightWaves, the Cass Freight Index for linehaul truckload (TL) rates advanced 0.4% in June 2024, reaching $3.55 per mile, while freight volume growth remained muted — delaying the anticipated inflection point to Q3 2024.
Rate Momentum Continues Amid Soft Demand
The Cass TL Linehaul Rate Index rose to $3.55/mi in June — unchanged from May but up 0.4% month-over-month. This marks the third consecutive monthly increase, following gains of 0.0% in May and 0.6% in April. Meanwhile, the Cass Freight Index for total shipment volume showed no growth in June, remaining flat at 11,736.66, after a 0.4% dip in May. Analysts attribute the delayed volume rebound to persistent inventory normalization, reduced retail restocking, and cautious procurement behavior across industrial sectors.
Fuel Costs and Carrier Economics
Diesel fuel prices edged up to $4.80 per gallon in June — a 0.2% increase — adding marginal pressure on operating costs. At the same time, carrier revenue per mile held steady: JBHT reported $2.65/mi, ODFL recorded $2.31/mi, and SAIA posted $3.69/mi. These figures reflect divergent pricing power across asset-based carriers, with regional players like SAIA maintaining stronger rate discipline than national fleets. The $1.64/mi average for INTRM.USA (intermodal rail-truck) underscores continued cost competitiveness versus over-the-road TL.
Public Market Signals and Freight Sentiment
Publicly traded transportation stocks registered broad gains in June. UPS rose 3.7%, FDX gained 2.1%, and XPO increased 1.8%. Rail operators also strengthened: UNP climbed 1.7%, CSX rose 1.6%, and NSC gained 1.5%. Concurrently, the FreightWaves National Truckload Index (NTI.USA) stood at $3.55/mi, matching the Cass linehaul figure. The 19.07% reading for STRIR.USA (spot market capacity tightness indicator) and 27.20% for STRIF.USA (freight availability) suggest tightening capacity in key lanes — consistent with rising rates despite flat volumes.
Broader Economic and Input Cost Context
Input cost indices showed modest inflationary pressure. The Producer Price Index for all commodities (PPI.ALLCOM) rose 1.3% to 286.8, while the Consumer Price Index (CPI.ALL) increased 0.4% to 332.57. Housing starts (HOUS.USA) surged 19.0% to 1,427 thousand units — a positive signal for construction-related freight demand later this year. Industrial production indicators, including ORAILL.USA (railcar loadings), rose 1.1% to 34,923.71, suggesting underlying manufacturing activity remains stable despite soft consumer goods movement.
Source: FreightWaves
Compiled from international media by the SCI.AI editorial team.
