Freight Recession Confirmed? Crashing Truck Sales Show US Growth In Jeoaprdy

Read more on this subject: Business/ Commerce
News Story Source: https://www.zerohedge.com, by Tyler Durden
As Bloomberg's Simon White writes, real economic activity in the U.S. is slowing sharply, and "this is showing up in lower demand for new trucks and autos, and a tailing off in freight volumes, leaving transport stocks facing more downside."

As White picks up where Fuller left off, heavy truck sales in the U.S. are a "very good leading indicator of economic activity, with 65% of the dollar value of North American freight moved by trucks. But new truck sales have been falling sharply, now at -23% on an annual basis. New auto sales are falling at a similar rate. Truck and auto sales combined are falling at a rate previously only associated with recessions.

That said, White cautions readers that "before you enter your equity sell orders, this is not a recession prediction. Recessions are signaled by a rapid regime shift across many areas of the economy and markets, and there is no sign we are in the process of this happening." Nonetheless, this sharp dec
Read More or Make a Comment

Bookmark the permalink.

Comments are closed.