Latest FTR Results: Van Spot Rates Show Strong Surge, Flatbed Rates Down Again

Van Spot Rates Surge Leading Up to Labor Day

The latest market data from FTR and Truckstop.com showed a significant rise in van spot rates in the week before Labor Day. While rates had been underperforming in recent weeks, they saw a notable increase, especially in the refrigerated van sector. The dry van sector also experienced a recovery, marking the strongest weekly performance since May’s International Roadcheck week.

Refrigerated Van Rates Hit a Record High

One of the standout figures from the report is the jump in refrigerated van rates, which saw their highest weekly increase since at least 2008. This surge reflects strong demand ahead of Labor Day, with rates jumping 13 cents. Although still slightly below last year’s numbers, the performance was a bright spot in an otherwise challenging year for spot markets.

Flatbed Rates Continue to Decline

Contrary to the van sector, flatbed spot rates saw another drop, continuing an 11-week decline. Flatbed rates are now at their lowest level since July 2020. This sector’s struggles highlight the broader challenges facing the market, as overall load postings remain lower than seasonal expectations.

Load Activity Sees a Small Recovery

Despite the declines in some areas, total load activity improved by 6%, marking the first week-over-week gain in five weeks. However, load postings remain significantly below both 2023 levels and the five-year average. The Market Demand Index, which measures the ratio of load postings to truck postings, saw a slight increase, suggesting a modest recovery in demand.

Market Outlook

While the Labor Day surge provided a short-term boost for van spot rates, the overall spot market remains under pressure. Broker-posted rates rose slightly for the first time in eight weeks, but they remain lower than last year’s levels. Going forward, experts expect mixed performance, with dry van spot rates likely to decline in the coming weeks.