Freight Volume Down in June - Unemployment Unchanged
According to the latest Cass Freight Index, freight volumes decreased in the month of June. Shipments carried by trucks, rail, barges, and air freight dropped 1.3% from same month in 2011.
Rosalyn Wilson, and economist with Delcan Corp, says “The trend of North American freight volumes continues to follow the path of general malaise that the economy is experiencing”. “The economy has been flat for several months and is even beginning to trend downward in terms of new orders and manufacturing output.” This slowdown on manufactured goods is putting pressure on freight. “Although freight volumes dropped from 2011, volumes did increase 1.3 from May to June which followed a 2.2% increase from April to May. This continued the overall trend for the year as freight volume rose 9.9% from the year-earlier period.""
The nation’s unemployment rate dropped remained unchanged at 8.2% in June, the Labor Department reported. However, the trucking industry added 2,000 jobs during the month. Trucking employment is up 3.4% whereas total employment is up 1.4%. So we’re running more than twice the total economy, Bob Costello of the American Trucking association said.
The US economy added 80,000 jobs as compared to 77,000 jobs in May. Along with the 2,000 jobs in June, for hire trucking added 6,500 jobs in May. This is the highest level of employment in this sector since November 2008. Other industries added jobs as well. Employment in construction rose by 2,000 in June which is the first increase since January. Manufacturing employment added 11,000 jobs in June the largest increase in three months.