Freight Inversion: Is a Logistics Shift Coming?
Update: 2025-10-07
Description
Is a freight recession on the horizon? The Logistics Managers’ Index reveals a negative freight inversion with transportation capacity outpacing prices for the third straight month, a historical indicator of market shifts. Transportation utilization hit a record low for September, and a significant pricing gap emerged between upstream manufacturers and downstream retailers. While retail activity is expected to remain strong through the end of the year, it's uncertain if it will be enough to keep the freight market afloat. Overall, the LMI fell to its lowest level since March, signaling a slowdown in supply chain cost inflation and offering supply chain leaders a much-needed breather.
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