The Stifel Logistics Confidence Index increased for the fifth consecutive month in March according to the latest survey undertaken by Transport Intelligence. The index for the current and expected situation combined was up 0.4 points to 52.5 in March compared with 52.1 in February.
In terms of the present logistics situation, the index registered a marginal decline of 0.3 index points to 45.4 from 45.7 in February. Since beginning in March 2012, the index has remained below the 50 threshold, indicating weaker volumes relative to those expected for the time of year; a reflection of the difficult economic conditions being experienced globally.
Despite being slightly less optimistic concerning the current environment, forwarders’ expectations for the next six months improved. The index for logistics expectations increased 1.3 points to 59.7 in March.
According to the survey, forwarders’ continue to anticipate an improvement in volumes, even though the index for the current situation doesn’t support this degree of positivity. Lucy Palmer, Economist at Ti, commented: “Regardless of a decline in the current index, forwarders’ confidence surrounding future market conditions strengthened further. This seems surprising; however it could be that the fall back in the index for March was a one-off resulting from manufacturer closures for the Chinese New Year. Results over the next couple of months will tell us whether or not this is the case.”
In a one-off question this month, Ti asked surveyparticipants if there was a visible trend towards increased consolidation (through mergers and acquisitions). Over three quarters of survey participants (76%) acknowledged such a trend, while only 14% did not. The remaining 10% were ‘unsure’.
About the Stifel Logistics Confidence Index
The Stifel Logistics Confidence Index is generated from an extensive survey of global logistics professionals, asked to provide their views on current levels of volumes in the industry and their expectations for six months’ time. An index value of 50 indicates no change in the volumes currently being experienced for the time of year; above 50 indicates higher volumes, while below 50 indicates lower volumes.
About Transport Intelligence
Transport Intelligence (Ti) is one of the world’s leading providers of expert research and analysis dedicated to the global logistics industry. Utilising the expertise of professionals with many years of experience in the mail, express and logistics industry, Ti has developed a range of market leading web-based products, reports, profiles and services used by all the world’s leading logistics suppliers, consultancies and banks as well as many users of logistics services.
SOURCE: Submitted by Transport Intelligence