Winter Weather Causes Problems/Freight Rates Rise (w/ video)

Scott MallFreight Market Blog

#WithSONAR

Heavy snow and icy conditions across large parts of the United States over the past two weeks have caused problems in many freight markets. And while the nasty winter weather has slowed and even stopped some trucks, freight rates have continued to rise.

Back-to-back winter storms are stalling supply chains. The second winter storm of this week slammed parts of the South on February 17. Several more inches of snowfall, along with some sleet and freezing rain, hit from Texas to the Tennessee Valley.

Watch the episode below:

This storm is impacting trucks, trains and ships from the Appalachians to New England. Besides road closures, some airports and intermodal terminals remain closed. 

Roads are still covered in snow and/or ice in many states across the southern Plains, as well as the Mississippi, Tennessee and Ohio valleys. Most issues and closures are on U.S. and state highways.

On this episode of #WithSONAR, co-hosts Kyle Taylor and Luke Falasca spoke with Principal and Managing Director of K-Ratio, Kyle Lintner, about the current state of the freight market and how to mitigate risk.

The two co-hosts and Lintner also discussed changing supply chains, how shippers can reduce volatility and their costs by using shorter bids. 

SONAR tracks daily activities in the domestic and global environments, with freight market data generated from thousands of exclusive sources with more than $200 billion of contract freight transactions. SONAR offers historical and current freight rate, demand and capacity index data across all modes. The industry’s first and fastest platform uses current tender rejection rates to create the most current freight activity and logistics rate indices in the market.

The only freight forecasting platform that combines contract tender data with spot rate data, SONAR creates predictive freight rates. Plus, SONAR uses artificial intelligence to develop consistently updated forecasts to give you the most reliable predictions of where trucking spot rates, supply chain demand and logistics capacity are headed over the next 12 months.