OPEC+ Changes Meeting Date and Freight Demand Increases | Weekly News Update

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OPEC+ panel shifts date of next meeting to August 19 – sources

According to Reuters, the Organization of the Petroleum Exporting Countries and allies (OPEC+) will hold its next virtual meeting on August 19. The organization along with its allies, has been cutting output since May to tackle the fallout from the COVID-19 pandemic. The cut was eased on August 1 to around 7.7 million barrels per day from a reduction of 9.7 million barrels per day previously.

 

Demand for Freight Drives Up Spot Market Rates

According to Transtopics, trucking has seen a turnaround bolstered by spot market rates and increased demand. Data from Truckstop.com—an online freight-matching marketplace that tracks industry trends— reported that during the weekend of August 7, demand for loads increased 5.4 percent to 80.05 index points from 70.96. As for spot rates, there was an increase of 1.6 percent to $2.32 from $2.28.

The weekly report showed the dry van segment had the most significant year-over-year spot rate increase at 35 percent for the week ended August 7. The refrigerated segment followed at 27percent, while the flatbed segment was up 12 percent.

Trucking companies have had to adapt to demand shifting considerably in favor of retail since more people have been staying in instead of going out to restaurants and bars. Jim Nicholson, vice president of carrier sales and operations at Loadsmart, said there is reason to believe there will be prolonged demand through the rest of the year with the strength in imports leading into the holiday retail season.

 

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