OVERALL PICTURE
The economy is still tepid, but freight is improving despite the slow growth. As we head into the second half of
the year, expect a leveling off or even a drop in July shipment volume. This is traditionally a slow month. Things
will begin to pick up again in August as we head into school and then holiday shipping. No remedy is expected
from the Federal Reserve to lower the strength of the dollar, so exports will continue to be very weak. The same
dollar strength makes import goods more attractive for the U.S. consumer because of the increased buying
power. The just‐completed nuclear deal with Iran will lift the sanctions against Iranian oil, so that should begin
to flow again. This will dramatically lower the price of oil and give consumers some extra cash in their pockets,
which should translate to stronger retail sales in the latter part of the year.
