European freight forwarders have reported a strong volume performance last month and optimism for July but expect slightly weaker overall volumes in August, according to Danske Bank’s monthly market survey.
The overall index for current volumes increased to 55 in June from 53 in May, indicating an overall expansion in volumes in June compared with April traffic levels for a majority of forwarders surveyed.
A reading above 50 implies growth in the survey methodology, which asks leading European freight forwarding companies about their current volume levels compared with the previous two months, seasonally adjusted, and about their volume expectations for the subsequent two months compared with current levels.
The forward index values in the latest survey are 56 for July and 48 for August, which indicate expectations for growth this month and a slight drop in volumes next month compared with current volume levels, seasonally adjusted.
The Road Freight index of 53 indicates expansion compared with two months ago, although the index decreased from May’s figure of 55. Expectations for Road came in at 55 for July and 53 for August, which still indicates increasing volumes over the next two months.
The Airfreight index of 46 in June improved from May’s reading of 44, but still indicates a drop in volumes in June compared with two months ago. Expectations for Airfreight stood at 56 for July and 50 for August, implying growth expectations for July and unchanged volumes in August compared with the current levels.
The Seafreight index of 57 in June indicates increasing volumes compared with two months ago.
Expectations for Seafreight came in at 50 for July and 45 for August, indicating expectations for a slight drop in volumes over the next two months.