The Logistics Managers’ Index held steady at 57.4 in October 2025 (unchanged MoM), reflecting offsetting trends of easing inventory and warehousing activity balanced by a sharp rebound in transportation.

• Inventory Levels fell -5.6 pts to 49.5, entering contraction as goods move downstream for holiday sales.

• Inventory Costs decreased -2.3 pts to 73.2, still signaling strong upward cost pressure despite lower volumes.

• Warehousing Capacity rose +0.5 pts to 52.0, a slight loosening consistent with reduced storage demand.

• Warehousing Utilization dropped -8.8 pts to 56.5, indicating slower growth in warehouse usage.

• Warehousing Prices increased +1.8 pts to 67.7, suggesting pricing remains firm despite marginally softer utilization.

• Transportation Capacity slipped -0.7 pts to 54.5, showing slower expansion.

• Transportation Utilization jumped +7.3 pts to 57.3, reflecting a surge in freight movement late in the month.

• Transportation Prices rose +7.5 pts to 61.7, ending the two-month negative freight inversion as demand picked up.

• Downstream retailers led the rebound, with Transportation Prices at 70.0 versus 56.4 upstream, as consumer demand drove seasonal freight flows.

• The LMI remained below its long-run average (61.4) for the eighth consecutive month, though late-October readings showed stronger expansion at 60.3.

• Researchers noted this pattern mirrors 2018’s seasonal dynamics, when downstream freight held steady despite upstream weakness tied to tariffs.

• The report suggests inventories are finally being drawn down, easing warehousing tightness and reviving transportation activity, bringing logistics flows back to a more “dynamic, seasonally consistent” pattern.

• Respondents expect the overall LMI to rise to 64.6 over the next year, anticipating leaner inventories but stronger price growth across costs, warehousing, and transportation.