The most recent revision to 2012Q4 GDP shows that the economy grew at a lackluster 0.4 percent annual rate to end last year, which was the slowest GDP growth rate since 2011Q1. However, this overall number doesn’t capture the large discrepancy between the public and private sectors. Had public sector spending remained unchanged, real GDP would have increased by 1.8 percent.... Read More

Quite a lot has changed during the three months since my last general update on the economic environment for trucking, but overall the outlook has substantially improved. Manufacturing is up. Retail sales are up. Consumer sentiment has brightened. Construction activity is hot. Congress is (possibly?) figuring out how to get its act together. Below the fold, I discuss several of these measures in more detail.... Read More

As the federal government spending sequester begins, fiscal policy is currently stealing the headlines, but Ben Bernanke discussed future monetary policy at two important appearances during the past week.... Read More

Cyclists often display bumper stickers or yard signs reminding motorists to “share the road.” The U.S. Department of Transportation even has a website providing information about safe road sharing.... Read More

Last week, the U.S. Bureau of Labor Statistics reported (.pdf) that firms added 157,000 employees to their payrolls during January. As in December, the construction and manufacturing sectors continued to expand and for-hire trucking employment also grew, increasing by 5000 employees since December.... Read More

Although some of its luster has faded, residential construction activity remains a comparatively strong source of demand for truckloads.

The U.S. Bureau of Labor Statistics reported last week that 155,000 jobs were added nationally during December, with the national unemployment rate remaining unchanged at 7.8%. For trucking, a key portion of this report was that manufacturers and construction firms respectively added 25,000 and 30,000 workers to their payrolls. This underscores that a sizeable reduction in potential truck drivers may be an important factor for the trucking industry during 2013.... Read More

Last week, two key economic reports showed an improving environment for trucking. In one, the U.S. Census Bureau reported that total monthly retail sales increased by a seasonally-adjusted 0.3% during November, or 3.7% year over year. In the other, the Federal Reserve documented a full percentile increase in the monthly industrial production index for November, including a 1.1 percentile improvement in the manufacturing component.... Read More

Last Thursday, the U.S. Bureau of Economic Analysis reported that gross domestic product (GDP) grew at a 2.7% annual rate during the third quarter of 2012, which was an upward revision from the preliminarily reported annual growth rate of 2.0%. At a first glance, this appears to be good news, but as economist James Hamilton points out, a more thorough reading of the report shows that the U.S.... Read More

Both retail sales and manufacturing declined during October, falling short of consensus expectations. Despite this, consumer sentiment remains resilient.