-10.6% MoM
In April, the global XSI® experienced a 10.6% decline from March, reaching 309.1 points. This is the lowest year-on-year growth recorded in the global XSI® since January 2021.
In April, the global XSI experienced a 10.6% decline from March, reaching 309.1 points. However, it remains 5.0% higher than it was in April of the previous year. This represents the lowest year-on-year growth recorded in the global XSI since January 2021. To provide context, in April 2022, the XSI was 118.5% higher than it was in the same month the previous year.
The larger declines observed in the global XSI® and its sub-indices can be attributed to the commencement of numerous new contracts at the start of the second quarter.
The global XSI® has experienced a 13.6% decline since the beginning of the year, adding to the strain on carriers' margins. The carriers had already been experiencing a decrease in their average rates in Q4, mainly due to the frailty in the spot market.
As Q1 outcomes have begun to surface, carriers have shown even more significant decreases in their average ocean freight rates. With the advent of Q2, it seems unlikely that the current quarter will be able to reverse the carriers' fortunes.
March's 0.5% drop was a prelude to new contracts with lower prices in April, causing the significant impact seen now.