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Market Update 8.20.26

Weather:

  • Heat and Storm-Driven Disruptions: Heat remains the primary national weather concern this week, while scattered thunderstorms and localized flooding risks impact portions of the Midwest, Mississippi Valley, Plains, Southeast, and Southwest. These conditions may create localized freight delays and service disruptions, but widespread transportation network impacts are not expected (Weather.gov).

Small Parcel Updates:

  • USPS Labor Day Closure: USPS announced additional package-processing upgrades beginning in August, deploying new sortation equipment to increase throughput, improve accuracy, and expand automation for larger parcels. While some facilities may temporarily shift package processing during installation, the investments are intended to strengthen network efficiency and package-handling capacity (USPS POSTAL PRO).

LTL Updates:

  • Diesel Rates: National diesel prices increased $0.197 from last week, averaging $5.454 per gallon, $1.741 higher than the same time last year, and $1.766 higher than two years ago. The Midwest region saw the largest increase, up $0.254 to $5.435 per gallon (U.S. EIA).

TL Updates:

  • Market Activity: Load postings decreased 2.4% from last week while spot truck postings were up 3.1% (DAT). The Load-to-Truck Ratio (LTR) decreased for vans, flatbeds and reefers. The FreightWaves Pricing Power Index fell 2 points to 69 this week but remains in a carrier-favorable market (SONAR).
  • Outbound Tender Rejection Index (OTRI): OTRI continued the softening trend, falling to 12.87% from 13.05% nationally (SONAR). Capacity has increased across van, flatbed, and reefer markets, though reefer remains the tightest mode despite a decline in LTR from last week.
  • Dry Van: National dry van demand decreased from last week, down 4.2% to a 9.6:1 LTR. The highest demand, with LTRs exceeding 5.5:1, is distributed across the entire U.S. (DAT VAN D&C). National dry van spot rates are down $0.10 per mile from July to $2.90, led by the Midwest and the Central South at $3.04 (DAT VAN RATES). The VOTRI declined to 13.53% from 13.84%, indicating improving truck availability and less pressure on carrier capacity (SONAR). Continue to expect favorable negotiating conditions for customers and brokers, although regional pockets can still tighten around retail and consumer freight.
  • Flatbed: National flatbed demand decreased from last week, down 6.4% to a 33.2:1 LTR. Elevated demand is spread across most of the U.S., with markets exceeding an 18:1 LTR, excluding DE, IA, MI, ND and RI (DAT FLAT D&C). National flatbed spot rates are down $0.08 per mile from July to $3.56, led by the Southeast at $3.86 (DAT FLAT RATES). FOTRI saw another significant decline, dropping to 13.33% from 15.69% (SONAR). The decline points to improved capacity and softening demand across industrial, construction, and project freight, with the end-of-month effect failing to generate the usual tightening. Flatbed should remain relatively favorable for procurement, though localized demand could create pockets of volatility.
  • Refrigerated: National reefer demand decreased from last week, down 3.5% to a 18.1:1 LTR. The strongest demand is broadly distributed across the U.S. with LTRs exceeding 12:1, excluding CT, FL, GA, LA and RI (DAT REF D&C). National reefer spot rates are down $0.07 per mile from July to $3.34, led by the Midwest at $3.70 (DAT REF RATES). Reefer remains the strongest mode up to 22.25%, up from 20.12%, signaling that capacity has tightened somewhat (SONAR). Seasonal produce demand continues to provide underlying support, but the lack of upward trends suggests the seasonal surge is not overwhelming available capacity. Reefer remains in the most competitive mode from a capacity standpoint, warranting more aggressive carrier engagement than Van.

International Updates:

  • FBX Trends: Lane specific container rates were up globally and in the 01 and 03 lanes from the previous week. The global FBX average increased 2% to $3,690. The FBX01 average increased 9% from last week to $7,422, while the FBX03 increased 3% to $9,422 (FREIGHTOS).
  • Port of Los Angeles: Vessels are currently averaging 3.7 days at berth. The port reported a 7.96% YOY decrease in volume from 23 scheduled vessels during the week of August 16, 2026. For the week of August 23, container volumes are projected to increase 39.71% YOY, with 26 scheduled vessels expected to move approximately 161,132 TEUs (PORT SIGNAL).

Embargoes:

  • ‌Tforce
    • St. Louis, MO
    • ‌Reno, NV
      • ‌Limited Service
  • Oak Harbor

Phoenix, AZ