Van spot rates ease as seasonally stronger period approaches, FTR report shows

BLOOMINGTON, Ind. — When it comes to spot rates, the trend recently has been downward. That trend continued this week.

According to a press release issued recently, FTR Transportation Intelligence reported that the broker-posted spot rates in the Truckstop system declined for the third straight week during the week ended July 26, following holiday-related strength in early July.

As noted in previous reports, rate softness in July is the norm, but spot rates for van equipment — especially refrigerated vans — are on the verge of a typical firming period heading into Labor Day. Van spot rates remained higher year-over-year in the latest week, although their positive comparisons tightened.

Flatbed spot rates were marginally below the same 2023 week.

According to the release, the total load activity bounced back a bit increasing by 2.5% after declining 6.5% during the previous week. Additionally, total volume was nearly 11% above the same 2023 week but more than 24% below the five-year average for the week. Total truck postings increased more than 5%, and the Market Demand Index — the ratio of load postings to truck postings in the system — declined to its lowest level since February except for the week that included the Fourth of July holiday.

Data also showed that the total broker-posted rate eased just over 1 cent after decreasing nearly 3 cents in the previous week. Total rates were nearly 1.4% above the same 2023 week but about 7% below the five-year average for the week. Although rates usually decline week over week during week 30, decreases are less reliable than they are for week 29. Total rates typically stabilize around early August as gains in van rates start to offset declines in flatbed rates. Week 31 usually sees week-over-week increases in van spot rates but declines in flatbed rates.

Dry van spot rates decreased 1.6 cents after falling nearly 6 cents in each of the two most recent weeks as well, according to the release. Rates were up 1.6% year-over-year — the smallest positive comparison in the last four weeks — but were still down almost 11% versus the five-year average.

Dry van loads eased 1.1%with the volume standing at more than 8% below the same 2023 week and 30% below the five-year average for the week.

Refrigerated spot rates decreased nearly 3 cents after falling 4.6 cents during the previous week. Rates had risen week over week during each week 30 between 2020 and 2023. Refrigerated rates were about 2% above the same 2023 week but more than 8% below the five-year average. Refrigerated loads decreased 3.1%. Volume was about 7% below the same 2023 week and nearly 30% below the five-year average for the week.

Flatbed spot rates declined nearly 2 cents, decreasing more than 1 cent during each of the two most recent weeks. Rates, which usually decline during week 30, were down 0.2% from the same 2023 week and nearly 7% below the five-year average. During week 29, the flatbed saw its first positive year-over-year spot rate comparison in nearly two years. Flatbed loads rose 5.3%. Volume was nearly 38% above the same week last year — the strongest year-over-year comparison since the end of 2021 — but about 23% below the five-year average for the week.