Though a small incase, this would need to continue for at least three months before the Index considers it an actual freight recession.

The minimal overall increase of the August Logistics Managers' Index is the product of counteracting forces at the sub-component level, according to researchers.

The index reads in at 59.3, up very slightly (+0.1) from July's reading of 59.2.

Researchers at Arizona State University, Colorado State University, Florida Atlantic University, Rutgers University, and the University of Nevada, Reno, and in conjunction with the Council of Supply Chain Management Professionals (CSCMP), issued the report on September 2.

The upward pressure comes from inventory and warehousing metrics. Inventory level expansion is up (+2.7) to 58.2, which in turn is pushing up inventory costs (+7.3) to 79.2 and warehousing prices (+3.9) to 72.2.

The report also notes that warehousing capacity expansion slowing (-0.6) to 50.5, which is just above the break-even of 50.0 and represents very marginal rates of expansion.

The downward pressure comes from our transportation metrics, the authors conclude. There were notable drops in both transportation prices (-6.9 to 56.1) and transportation utilization (-4.8 to 54.7).

At the same time, available transportation capacity is up (+4.7) to 57.3. While these are not necessarily seismic shifts on their own, the authors say, the fact that transportation capacity is now expanding faster than transportation prices is significant as it represents a mild negative freight inversion.