Aluminum Scrap Markets
July 23, 2024
Flatbed rates hold steady amid economic fluctuation
Written by Robert Martin
With Q2 in the books, we find ourselves in a similar position to where we started the year. Flatbed rates have remained stable for the duration of the year, moving between $2.47/mile and $2.53/mile, inclusive of fuel at a national level. While January brought challenges from winter storms and spring brought seasonal volatility to certain markets, overall, the marketplace has remained relatively calm. Shippers are still enjoying favorable conditions with plenty of supply to meet shipping demand.
Our flatbed spot rate index closed Q2 at a mark of -4.29% y/y, putting us ~5% off our original forecast of +1%. After eight long quarters of deflationary rates, it appears carriers will have to wait at least another month or two for positive rate action on a y/y basis. Our first read of Q3 appears to be pointing towards reaching the light at the end of the tunnel for spot-dependent carriers. After the first few weeks of July, our initial spot index read for Q3 shows rates back on the positive side, albeit just barely, at +.26% y/y. Yes, that comes out to a whole one cent per mile higher than Q3 2023!
