Trucking Slowdown Could Mean Weakness in Fourth Quarter
November 4, 2019
Heading into the holiday season, you would expect shipping to be gearing up. Instead, the trucking industry is continuing to decline. The DHL Supply chain/Freightwaves Pricing Index, which tracks real-time demand and supply in the trucking industry read a 25 last week. Any score below 50 indicates lackluster demand. Freightwaves analysts called the lack of demand heading into the holiday season “worrisome.”
The slowdown in the domestic trucking industry could mean that retail sales will be tepid this holiday. With steadily declining manufacturing and business spending, the American economy is becoming increasingly dependant on consumer spending. As fears grow about a coming recession, we may see more consumers opt not to open their wallets and rein in spending.