US merchant wholesale data shows some green shoots for freight demand
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US Merchant Wholesale Data FAQ - JOC.com
Frequently Asked Questions
Q: What is the current state of US inventory and how is it affecting freight demand according to JOC.com?
A: As of July 12, 2023, US businesses may have passed the inventory peak, but data indicates that stockpiles remain high. Despite some positive signs ("green shoots") for freight demand, a weak wholesale retail market is hindering the speed of US inventory destocking, which in turn affects freight demand.
Q: Are US warehouse vacancies increasing?
A: Yes, US warehouse vacancies rose in Q2 of 2023. However, the market is still considered healthy. Analysts expect vacancies to continue rising into 2024 as the construction of new warehouses nears completion and potentially outpaces demand.
Q: How are US shippers responding to inventory and freight demand challenges?
A: According to a report from September 25, 2023, US shippers with large inventories are shifting their freight strategies. They are likely to move more small parcels instead of pallet-sized loads, adjusting their strategies in response to market conditions and to mitigate the challenges imposed by high inventory levels.
Q: When is a US freight rebound expected according to analysts?
A: Analysts predict that there will not be a significant rebound in US freight demand until 2024. However, some emerging positive signals indicate potential improvements in freight demand, as observed in US merchant wholesale data.
Q: What are some of the possible future trends for freight rates?
A: Historical trends suggest that shifts in demand can lead to fluctuations in freight rates. Factors such as economic conditions, trade policies, and inventory levels all contribute to these variations. While the search results do not provide a direct forecast, these aspects are likely to continue influencing freight rates in the coming months or years.
For detailed information and updates on the topic, consult articles on JOC.com as they provide in-depth analysis and the latest data on US inventory, warehouse vacancies, and freight demand trends.