This chart is really starting to reflect the tight supply conditions in the industry, I am referring to the effects of having to fully implement in the Electronic Logging Device [ELD] mandate. The industry had feared that full implementation of the ELDs would reduce the available number of driver-miles (a concept analogous to passenger-miles in the airlines). Some observers felt this would be temporary as the industry learned how to operate under the new rules. The length and strength of the gains in prices on this chart suggest otherwise.
We continue to monitor this closely, but we think that the anecdotal evidence we are hearing that suggests that shipping firms are taking advantage of this situation to make up for the revenues lost during the recent period of price softness you see on this chart. Stay tuned.