The Freight Transportation Services Index (TSI), which is based on the amount of freight carried by the for-hire transportation industry, rose 0.6 percent in August from July, rising for the second consecutive month, according to the US Department of Transportation’s Bureau of Transportation Statistics’ (BTS). The August 2014 index level (120.9) was 27.8 percent above the April 2009 low during the most recent recession.
The increase in freight in August was driven by continued gains in trucking and water, and by pipelines, which rebounded from a July decline. Rail and air gave back some July gains. The rise in freight took place despite a decline in industrial production, but accompanied growth in personal income and in inventories of manufactured goods. Overall employment grew, as did transportation employment, although more slowly.
August was the third month in which the Freight TSI exceeded the levels that had been attained prior to the weather-related downturn in the early part of the year to reach its highest level ever. The increase in the index continues the return to growth after the decline in June. After dipping to 94.6 in April 2009, the index rose by 27.8 percent in the succeeding 64 months.