According to today's USDA Grain Transportation Report, the Federal Reserve noted in the latest Beige Book, released in May, that “economic activity was little changed overall in April and early May...[however] demand for transportation services was down, especially in trucking, where contacts reported there was a ‘freight recession.’”
This decline in the transportation sector overall is consistent with trends in grain transportation.
Since the start of the year, grain transport cost indicators (GTR table 1) have declined 15% for trucking, 23% for shuttle trains, 69% for barge, 9% for ocean vessels departing the U.S. Gulf Coast, and 10% for ocean vessels departing the Pacific Northwest.
The Beige Book contains qualitative information on current economic conditions based on surveys and interviews with key business contacts, economists, and market experts.