The latest update to the Shippers’ Conditions Index (SCI) reflects continuing tightening capacity and accelerating transportation costs. SCI is reported by FTR Associates. The latest numbers are reported in the company’s May Shippers Update.
“The recent sharp deterioration in the SCI reflects the twin pressures of tightening capacity and rising fuel surcharges,” said Larry Gross, senior consultant for FTR. “Looking ahead, with the slower recent growth in the economy, we are expecting the SCI to begin to stabilize and would not be surprised to even see some modest improvement in the next few months. Such improvement would not, however, change our basic outlook for a difficult environment for shippers through the end of this year and well beyond.”
The SCI sums up market influences that affect shippers. The latest reading, a -11.4, indicates unfavorable conditions for shippers. A reading above zero indicates a favorable shipping environment.