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GDP growth in the second quarter could drive improvements in freight and FTR is forecasting double digit positive Trucking Conditions Index readings by the end of the year.
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Preliminary numbers for Class 8 truck orders show near two-year lows in August, per the latest projections from ACT Research and FTR.
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UPDATED -- A month-over-month decline was particularly impacted by a drop in dry van orders following some large fleet orders placed in June, but were 13% better than July 2014.
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The FTR Trucking Conditions Index for June jumped up 56% from May to a reading of 7.66, hitting the highest level of 2015 so far.
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The trucking industry has enjoyed prosperity in recent years but as the recovery continues, some analysts are projecting a slowdown.
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Class 8 truck orders increased by a good amount in July, indicating a growing confidence in the market, according to analysis from FTR and ACT Research.
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FTR’s Trucking Conditions Index measure for May dropped to a three-year low of 4.91 due to softer capacity, pricing, and fuel prices. The index is expected to move into significantly more positive territory as the anticipated regulatory drag in 2016 and 2017 dramatically tightens capacity.
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North American Class 8 truck orders fell for the fourth straight month in June, to 19,624 units, according to preliminary data from FTR, keeping with seasonal trends.
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The FTR Trucking Conditions Index fell 9% to a reading of 6.7 in April, weakened by more available capacity and less pressure on rates.
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Class 8 truck orders hit their lowest monthly level since late 2013 with around 20,000 units ordered while medium-duty orders rebounded.
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