Comments on the Weekly Intermodal Rate Charts:
Domestic intermodal spot rates are:
Another week and a new three year spot rate high achieved in both domestic intermodal and truckload.
Several domestic intermodal markets are capacity challenged, with SoCal being the most constrained. Shippers continue to look for creative solutions in the SoCal market to move their product inland, as standard intermodal boxes are being soaked up by contract shippers to the point many of these contract shippers are having to go to the spot market themselves. It is our understanding shippers should expect the SoCal market challenges continue for at least two to three weeks.
Diesel Fuel Comments:
The EIA reported average diesel fuel price of $2.922 per gallon this week, which is a $0.004 decrease from the prior week. The price per gallon is up $0.442 or 17.8% higher from the same period last year.
Oil remains above $50, although dropping again this week with WTI and Brent trading today in the range of $56.45 and $61.85, respectively. While OPEC extend its production cuts through to the end of 2018, there is still the overhang of US production being able to fill the void and demand questions.
The most recent projection by the EIA for diesel and oil prices were published on November 7. In the report, diesel is projected to average $2.83 in calendar year 2018.
The full spreadsheet of the historical weekly price moves of diesel full can be found at https://www.eia.gov/petroleum/gasdiesel/.
Graphs listed below include: