National average rates held steady for vans last week, as gains in the Southeast and some California markets were offset by declining rates in the Midwest and Northeast. Spot market load volume and load-to-truck ratios increased for all equipment types on DAT Load Boards, however, a signal that rates should improve very soon.
A look at the top 100 freight markets nationally, too, showed load volumes increasing, says DATs Ken Harper, across segments. “Rates had only just started to move,” however, he adds. “We still think classic economics applies here: as demand increases, so will rates. We’ll see next week.”
More van freight is rolling out of California, Florida and Georgia, and outbound van rates are rising in those states and others in the West and Southeast. Atlanta had the most van loads last week of any freight market, and Charlotte, N.C., and Lakeland, Fla., are also in the top five. While it doesn’t show up as a high-demand state on the map, Texas is home to the remaining two of the top five markets for van load posts: Houston and Dallas. Next week’s list is likely to include Memphis and Los Angeles, where outbound volume is trending up.
Reefer load volumes rebounded last week, thanks to early harvests in California, as well as late produce shipments from Florida. Other top states for produce are Texas and Georgia, particularly the southern areas of both states, where rates are trending up. Arkansas was also a high-demand state for reefers last week, due to an increase in shipments of fruit and vegetables, as well as poultry products.The lane between Memphis and Chicago averaged $1.76 last week for dry vans. Rates rose on both legs, to $1.96 a mile on the southbound run. The Memphis to Chicago lane, however, stood only at $1.55 per mile on average. Breaking up the northbound run with a load to St. Louis would add just around 50 miles of driving, but that lane averaged $2.36 per mile last week. A second load from St Louis to Chicago could pay $1.97 give or take, judging by the averages. Complete it all in two days and you’re adding $450 to the trip on average. Examine hypothetical details below.
