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Bob Costello with the ATA has some great points:
The freight market is and has been worse than the macro-economy for a host of reasons, including: • Consumers move back to buying services (e.g., travel) • Related, port volumes have plummeted • Housing is currently in a recession (construction and sales) • And factory output slowing Between falling spot loads, falling spot rates, much higher costs, and driver productivity declining, capacity is leaving the industry!
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(Source ATA and DAT — 2020 =100)
Irony: Higher driver pay leads to less productivity as drivers want more at-home time.
Summary — it is worse than we expected…and prices won’t fall as fast as shippers hoped!