Stifel forwarder index reaches two-year low
Stifel and research firm Transport Intelligence's Logistics Confidence Index, which measures confidence in European forwarding industry, declined for the fourth straight months as both ocean and airfreight markets suffered.The Stifel Logistics Confidence Index saw a fourth consecutive month of decline in September, reaching a 26-month low.
The index, which measures confidence in the global forwarding industry, is compiled by the investment bank Stifel in partnership with the consultancy and research firm Transport Intelligence.
The index is still above the neutral 50 mark, at 51.5 the companies said, but “times may be gloomier that the numbers alone suggest. Not only has the Index reached its lowest point in some 26 months, it also recorded its fastest pace of decline since June 2014, a 2.6 point loss against the 54.1 recorded in August. September’s most concerning figure comes from the Logistics Situation Index – at 49.4, the index indicated an erosion in confidence, likely based on a combination of China’s slowing economy, general weakness in emerging markets and tepid global trade.”
The six-month outlook index, meanwhile, has fallen 9.6 index points in the last four months, with loss of confidence in the ocean freight market most concerning. The Logistics Expectations Index for ocean freight fell 3.6 points in September and is 12.2 points below the confidence levels of September 2014.
The Logistics Expectation Index for air freight shed 3.1 points from August, to finish at 54.2 as all lanes saw falling confidence. The Asia-to-Europe lane declined 4.4 points to 53.8, while the Europe-to-Asia lane saw a four-point dip to 51.8. A 2.3 point decline meant the U.S.-to-Europe lane ended September at 52.8, while a loss of 1.8 points had the Europe-to-U.S. lane ending the month at 58.3.