Truck Load Rates Halt 8 Week Slide 2.0

Bunch of 600$ loads going 200 miles this week. Hopefully they sit right on the board

 

It'll move. Always does because everybody has bills to pay. I'm sure all the new authorities out there depending on brokers figured out how to survive on $2,000 net weeks? Or $1,000? It can go there, and worse. Probably will. Some people can coast on thru times like that. Can you imagine having overpaid for a bunch of equipment in the past year or so and facing that prospect?

 

I’m trying to decide if I want to sell one of my trucks and a trailer before things go sideways.

The truck I’d like to sell just for the money is my ‘18, but it’s so much nicer than my old one I’m really hesitant. I’d like to sell my van too but I think that would be a mistake, and I don’t really want to sell my flat.

 

It’s definitely a hard call. I do have new stuff coming in the summer so selling now only creates a several month gap, but I feel in those several months that things could change drastically. It’s also my oldest stuff.

I had to buy 3 overpriced trailers so I’d also like to recoup some of that by selling some existing overpriced used stuff. Only you know your situation and such but Im definitely heavily investing in having the latest equipment I can afford, I probably would do the same in your position to keep max efficiency and consistency.

 

I reviewed the corresponding rates from this time last year. Keeping in mind that fuel is at 4.6 after discounts, they aren't that way off.
We see the acute contrast between the current rates and those from 4th Qtr 2021 and the last January..
It is not any consolation. It just means that things are still above the bottom.
There's less book the same day freight which means that there too many cooks in the kitchen.

 

No, doubt, Joe, I figure the economic break even point in OTR (counting labor and profit) is between $2.25 and $2.50 a mile. As long as rates are above that, economics says we are still attracting capacity, rather than shedding it.

It's still a LONG way above break even.

 

If it's any consolation, I haven't seen that trend on my end. Mostly stuff has been flat, or creeping higher to cover. I'll keep an eye out.

 

Better rates on the board today. Few loads that were posted cheap the last few days doubled in the rate.

 

It seems like whenever we try and book a few days out something always goes wrong. Had a good round setup but my load to get me down to Jersey cancelled last minute the other day.

 

That sucks, man. I've had a couple profitable loads evaporate in the past couple weeks due to parts shortages, and carrier-related shenanigans. It's been fun.