SONAR Sightings: Dallas Losing Market Share; China-to-US rates drop further


Highlights of Wednesday’s SONAR reports are below. For more information on SONAR – the industry’s fastest freight forecasting platform – or to request a demo, Click here. Also be sure to check the latest update of SONAR, TRAC — the most recent spot rate data in the industry.

Market Watch for October 19:


Dallas lost more outbound tender market share this week as outbound demand continues to decline.

Dallas’ market share fell from 3.1% on October 12 to 2.85% on Wednesday. This decline comes as outbound volumes have been steadily declining for nearly two weeks and have allowed the Houston market to overtake Dallas with 2.86% market share. The outbound bidding volume index for Dallas is down more than 23 points, or 6.7%, since last Wednesday and is still trending lower.

Despite the drop in outgoing volumes, the rate of rejection of calls for tenders remains close to 5%, roughly their level for the last three months. The Dallas Outbound Tender Rejection Index edged up 15 basis points last week to 4.8%, indicating that most carriers are accepting freight, but those rejecting are looking for opportunities on the spot market.


Lakeland, Florida

Inbound capacity and outbound demand in Central Florida are increasing after a week of inactivity.

Outbound volumes at Lakeland increased over the weekend and since Monday have increased by 10.6%. Inbound freight levels are also trending higher this week, with the Lakeland Inbound Tender Volume Index rising 24 points, or 8.8%, to 296.8.

Lakeland is a return haul market, receiving more freight than it ships, but increased volume flows in both directions generated a stalemate in Lakeland’s Headhaul Index, settling at -120 ,4.

Rejection rates began to rise as volumes began to rise, but took a downward turn on Tuesday, falling to 2%. Declining rejections indicate that carriers are beginning to relocate to their contract freight.


NTI as reference

The National Truckload Index is a daily look at how spot rates in specific lanes hold up against the national average, giving carriers and brokers an idea of ​​which lanes to gravitate to or avoid.

NTI Daily

Shipping rates

Spot market rates per forty foot equivalent unit fell further this week after little to no change last week.

Container rates by FEU from China to the West Coast of the United States fell from $293.68 on Monday to $2,491.60. Container rates from China to the US East Coast fell even more by $417.62, to $5,719.16. These two prices are the lowest since March 2021.

The difference between the two shipping lanes is now $3,227.56.

Meanwhile, booking volumes from China have been declining over the past five days. The ocean container booking volume index in SONAR Container Atlas is down 20.4% since Saturday, but this is normally the time of year when booking volumes would increase. Booking volumes from China to the United States were 49.1% higher last year than they are now, and overall volumes were 46.1% higher.


Route to watch: Atlanta to Lakeland

Relief is still being sent to Florida to help victims affected by Hurricane Ian, and spot market rates from Atlanta to Lakeland have risen 16 cents since the start of the month to $3.40 per mile, or 82 cents above the national average.

Outbound tender rejection rates rose to 3.4% on Tuesday after hitting a two-year low earlier in the week. As these releases continue to grow, spot market rates out of Atlanta will only continue to rise, and bringing relief to those who still need it while earning a few bucks is what is trucking in times like these.

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