This week’s FreightWaves Supply Chain Pricing Power Index: 35 (Shippers)
Last week’s FreightWaves Supply Chain Pricing Power Index: 35 (Shippers)
Three-month FreightWaves Supply Chain Pricing Power Index Outlook: 30 (Shippers)
The FreightWaves Supply Chain Pricing Power Index uses the analytics and data in FreightWaves SONAR to analyze the market and estimate the negotiating power for rates between shippers and carriers.
This week’s Pricing Power Index is based on the following indicators:
Volumes bounce back from end-of-year slump
Expectedly, freight demand plummeted during December’s holidays, since neither shippers nor carriers wanted to move their loads over the week of Christmas and New Year’s Eve. At present, the Outbound Tender Volume Index (OTVI), which is a seven-day moving average of tendered load volumes, remains depressed due to Monday’s observation of New Year’s Day. Next week, however, volumes should recover from the holiday lull, though the beginning of Q1 is historically a slow and quiet period in the market.
SONAR: OTVI.USA: 2023 (white), 2022 (blue) and 2021 (green)
To learn more about FreightWaves SONAR, click here.
Given the difficulty of comparing one holiday-affected week to another, any of OTVI’s movements on a week-over-week (w/w) basis will not be greatly informative for the time being. Nevertheless, OTVI did rise 16.77% w/w. On a year-over-year (y/y) basis, OTVI is down…
