WEBVTT - America's Truckin' Network -- 12/3/25 0:00:05.920 --> 0:00:08.719 This is America's Trucking Network with Kevin Gordon. 0:00:10.720 --> 0:00:14.400 Welcome aboard, Thanks for tuning in on this Wednesday morning. 0:00:15.160 --> 0:00:18.760 We are finally starting to see a bit of a 0:00:18.880 --> 0:00:21.440 decrease in terms of gasoline prices. 0:00:21.480 --> 0:00:23.560 We saw that right before. 0:00:23.280 --> 0:00:27.240 The Thanksgiving holiday, and it's been interesting over the last 0:00:27.480 --> 0:00:33.440 well since inauguration that generally what you see around vacation time, 0:00:33.920 --> 0:00:38.680 what you see around holidays and even weekends, sometimes the 0:00:38.800 --> 0:00:41.560 gas prices seem to go up just a little bit 0:00:41.920 --> 0:00:46.519 right before those peak driving periods. And you know, the 0:00:46.680 --> 0:00:50.080 justification has always been, well, you know, it's a matter 0:00:50.120 --> 0:00:52.640 of supply and demand. When there's a lot of demand, 0:00:53.040 --> 0:00:56.000 the supply is pretty much the same. You can only 0:00:56.040 --> 0:01:00.040 put so many gallons in the tank underground and go 0:01:00.200 --> 0:01:02.760 on and that. If there's a lot of demand for that, 0:01:02.880 --> 0:01:04.880 then of course people are going to be you know, 0:01:05.400 --> 0:01:07.760 the demands there, so the supply is less and of 0:01:07.840 --> 0:01:10.880 course the prices go up. But over the last year 0:01:10.920 --> 0:01:14.039 we've seen pretty much around the time of thinks well, 0:01:14.360 --> 0:01:20.360 Independence Day, Memorial Day weekend and there that gas prices 0:01:20.400 --> 0:01:23.759 actually came down a little bit, were held steady right 0:01:23.840 --> 0:01:26.319 up to the Thanksgiving holiday. A lot of people were 0:01:26.319 --> 0:01:28.560 talking about and actually in the news they were talking 0:01:28.600 --> 0:01:30.760 a little bit about this, which was kind of interesting 0:01:31.160 --> 0:01:35.120 because it was positive news for the Trump administration, which surprise, surprise, 0:01:35.160 --> 0:01:39.120 they actually reported on, but talking about that gas prices 0:01:39.200 --> 0:01:42.080 were approaching the lowest that they had been in over 0:01:42.160 --> 0:01:42.800 four years. 0:01:43.160 --> 0:01:46.400 And that's that is not chump change. 0:01:46.480 --> 0:01:48.720 It's less than what I would want it to see, 0:01:48.760 --> 0:01:51.520 given the fact that we look at oil prices and 0:01:51.560 --> 0:01:55.520 oil prices basically well just let's get to it. West 0:01:55.520 --> 0:01:57.920 Texas Centermedia crewed Carling is at fifty eight dollars and 0:01:58.000 --> 0:02:01.160 sixty six cents a barrel. That's down sixty six cents 0:02:01.160 --> 0:02:06.000 from yesterday, which since the beginning of the year, West 0:02:06.000 --> 0:02:09.839 Texas Intermedia crews down eighteen dollars and twenty three cents 0:02:10.200 --> 0:02:14.160 a barrel, or twenty four percent. Rent crued sixty two 0:02:14.280 --> 0:02:18.440 forty six, down seventy one cents. That is down seventeen 0:02:18.480 --> 0:02:21.760 dollars and forty four cents since Inauguration Day, or twenty 0:02:21.800 --> 0:02:24.680 two percent. And I've been talking most of the summer 0:02:24.680 --> 0:02:28.040 we actually since oil price has been falling, that we're 0:02:28.040 --> 0:02:31.480 not seeing this reflected in gasoline prices. And I have 0:02:31.639 --> 0:02:34.280 quized several people on that. We've had Phil Flint on 0:02:34.320 --> 0:02:38.680 this program talking about that. And when they talk about 0:02:38.720 --> 0:02:41.440 going into the summer season, you have the summer blends 0:02:41.520 --> 0:02:44.440 and you have to have certain additives to that for 0:02:44.520 --> 0:02:51.000 pollution controls, and you know, the distillates and the processing 0:02:51.680 --> 0:02:55.600 going through the refinery and the costs of that. Also 0:02:55.800 --> 0:02:58.440 in the spring, when they start gearing up away from 0:02:58.520 --> 0:03:02.000 the heating oil and the decent you know, the heating 0:03:02.000 --> 0:03:05.400 oil during the winter months and getting into the gasoline season, 0:03:05.880 --> 0:03:08.919 then you have the changeover and the refineries and the prices. 0:03:09.000 --> 0:03:11.880 You know, the supply goes down because they're not refining 0:03:11.880 --> 0:03:13.600 as much. And then at the end of the term 0:03:14.000 --> 0:03:16.320 when the summer driving season is over and then shifting 0:03:16.320 --> 0:03:19.440 to the winter blends, that the maintenance goes down, and 0:03:20.160 --> 0:03:20.960 you know, all. 0:03:20.800 --> 0:03:21.720 That sort of stuff. 0:03:22.040 --> 0:03:26.200 But overall, the prices have not come down the way 0:03:26.280 --> 0:03:28.360 I would have expected them to see. I mean, given 0:03:28.360 --> 0:03:32.200 the fact that the raw material process going in there 0:03:32.560 --> 0:03:36.240 is down fifteen to twenty twenty five percent over the 0:03:36.280 --> 0:03:40.119 previous just since January, and you're not seeing that reflected 0:03:40.160 --> 0:03:43.040 in gasoline prices. We are starting to see a little 0:03:43.080 --> 0:03:47.160 bit of a decrease in gasoline prices generally because of 0:03:47.440 --> 0:03:49.640 what they talk about. Towards the end of the season, 0:03:49.680 --> 0:03:51.960 after you get out of the summer driving season, when 0:03:52.000 --> 0:03:56.440 you have the peak gasoline demand, the demand isn't there 0:03:56.520 --> 0:03:59.360 as much, and so then the prices come down. It 0:03:59.440 --> 0:04:02.200 made the net well headlines from the National News talking 0:04:02.240 --> 0:04:05.560 about the gasoline prices fall to a four year low 0:04:05.640 --> 0:04:10.520 on cheap oil, flat demand. Now again, when I look 0:04:10.560 --> 0:04:14.320 at gasoline prices and for the first time for a 0:04:14.360 --> 0:04:19.800 long time, technically nationwide the average for gasoline is down 0:04:19.839 --> 0:04:23.080 below three dollars a gallon. But you know, the way 0:04:23.120 --> 0:04:28.080 they put the prices on the Marquee and whatever, it's always, 0:04:28.279 --> 0:04:31.360 you know, two dollars and seventy five cents point nine. 0:04:31.680 --> 0:04:33.480 You might as we'll call it two dollars and seventy 0:04:33.480 --> 0:04:36.599 six cents. But right now the national average is two 0:04:36.640 --> 0:04:41.120 dollars ninety nine cents point eight, so eight tenths, so 0:04:41.440 --> 0:04:44.240 it averages out or you know, round up to three dollars. 0:04:44.279 --> 0:04:47.680 But it is technically below three dollars a gallon, which 0:04:47.720 --> 0:04:51.320 is a good thing. Uh, And prices are coming down. 0:04:51.560 --> 0:04:54.479 In the story they're talking about while gasoline prices tend 0:04:54.480 --> 0:04:58.920 to fall after the peak summer demand months, demand months 0:04:59.000 --> 0:05:01.600 when drivers hit the rather on vacation. The cost to 0:05:01.640 --> 0:05:04.240 fill your tank has been relatively flat this year, with 0:05:04.360 --> 0:05:07.800 prices held down by cheaper cruit. Now on the plus 0:05:07.839 --> 0:05:11.040 side of that, the gasoline prices haven't gone up. If 0:05:11.040 --> 0:05:13.280 you look at the prices as what they were last 0:05:13.400 --> 0:05:16.560 year versus this year, they are relatively the same or 0:05:16.640 --> 0:05:19.120 within a couple of pennies of each. So as far 0:05:19.160 --> 0:05:22.440 as inflation is concerned, when you look at energy prices, 0:05:22.440 --> 0:05:25.600 where you look at gasoline prices, that isn't affecting your 0:05:25.760 --> 0:05:29.480 your bank account or affecting your your you know, your 0:05:29.520 --> 0:05:32.560 monthly payments, your budget for the year or for the 0:05:32.600 --> 0:05:37.280 month on a on a major way, because again you're 0:05:37.320 --> 0:05:40.440 paying the same amount basically this year as you were 0:05:40.520 --> 0:05:43.239 last year, and depending upon how you drive, the fuel 0:05:43.279 --> 0:05:46.400 efficiency and so on will make a big difference. But 0:05:46.880 --> 0:05:49.360 it's been interesting that actually people are starting to talk 0:05:49.400 --> 0:05:51.960 about that and the fact that I'm actually starting to 0:05:52.000 --> 0:05:56.080 see this price is narrowing to the point where it's 0:05:56.160 --> 0:05:59.440 it's noticeable, but not as noticeable as it could be. 0:05:59.800 --> 0:06:03.080 And as I've mentioned, if prices on gasoline were about 0:06:03.120 --> 0:06:06.799 fifteen percent lower where I think they should be. We'd 0:06:06.800 --> 0:06:09.200 be paying a national average of about two dollars and 0:06:09.240 --> 0:06:12.040 fifty five cents a gallon, and there needs to be 0:06:12.080 --> 0:06:16.440 a little bit of Now. I know, these refineries are 0:06:16.480 --> 0:06:20.599 working at massive amounts. I mean they are working at 0:06:20.680 --> 0:06:25.440 ninety six ninety seven percent capacity, which is in efficiency, 0:06:25.839 --> 0:06:29.840 which is a lot higher than most businesses operate. And 0:06:29.920 --> 0:06:33.200 so credit to that. But again, as I mentioned before, 0:06:33.240 --> 0:06:36.360 we have not built a major refinery in this country 0:06:36.400 --> 0:06:41.120 in over forty seven years. We've upgraded some, we've expanded 0:06:41.200 --> 0:06:45.960 some within the territory or within the location of these refineries, 0:06:46.200 --> 0:06:49.600 but in terms of actually manufacturing a new or building 0:06:49.640 --> 0:06:53.120 a new refinery, it just hasn't been done. And then 0:06:53.200 --> 0:06:55.880 you see the gasoline prices out in California, which are 0:06:56.000 --> 0:06:59.240 more than two dollars, more than two dollars a gallon 0:06:59.640 --> 0:07:03.400 than the cheapest gas in the country right now, Gasoline 0:07:03.400 --> 0:07:05.960 in California is at five four dollars and fifty four 0:07:06.000 --> 0:07:09.159 cents a gallon, and at Oklahoma is two dollars and 0:07:09.240 --> 0:07:13.400 forty cents. Folks, that is a two dollars and fourteen 0:07:13.560 --> 0:07:18.400 cent difference. And you've got all these regulations on the 0:07:18.520 --> 0:07:23.880 gasoline prices in producing in California. They put all this 0:07:25.240 --> 0:07:28.280 mandates in terms of additives that have to go into 0:07:28.680 --> 0:07:32.520 the gasoline there to control, as they say, pollution in 0:07:32.560 --> 0:07:36.000 that part of the country. Yet they will push all 0:07:36.040 --> 0:07:39.880 these environmental controls in certain areas, but then allow these 0:07:39.880 --> 0:07:43.040 wildfires to go crazy, which wipes out all the stuff 0:07:43.080 --> 0:07:45.320 that they've done in terms of cleaning up the climate 0:07:45.600 --> 0:07:47.360 or cleaning up the environment. 0:07:46.920 --> 0:07:49.240 Out there, and it's all destroyed. 0:07:49.600 --> 0:07:54.320 Twenty to thirty years of looking after, you know, trying 0:07:54.320 --> 0:07:58.280 to reduce carbon footprint and to reduce pollution in California 0:07:58.360 --> 0:08:02.080 were wiped out in twenty two when that wildfire went 0:08:02.080 --> 0:08:05.440 through there. And when you look at the gat the 0:08:05.480 --> 0:08:07.840 pollution that was caused by the. 0:08:07.640 --> 0:08:09.600 Fire in January of this year that. 0:08:09.600 --> 0:08:13.360 Wiped out the palisades, that pushed them back another ten 0:08:13.360 --> 0:08:16.560 to fifteen years. So everything they've done out there has 0:08:16.600 --> 0:08:20.440 been useless based on their environmental policies as far as 0:08:20.480 --> 0:08:23.280 clear cutting, making sure that they keep the brush low 0:08:23.520 --> 0:08:26.680 and by the way, if you've got fire hydrants, make 0:08:26.720 --> 0:08:29.440 sure that they have water in them, filling the reservoir, 0:08:29.600 --> 0:08:32.080 doing the basic things that government are supposed to be 0:08:32.160 --> 0:08:34.960 doing so on top of that, on top of being 0:08:35.440 --> 0:08:39.839 a situation where you have a fire hazard on a 0:08:40.000 --> 0:08:43.800 yearly basis, and then you've got these right now, what 0:08:44.000 --> 0:08:46.320 I think, I don't even think of the eleven thousand 0:08:46.400 --> 0:08:50.360 structures out there. I think last count was that there 0:08:50.360 --> 0:08:55.000 had been something like fourteen hundred applications that have been filed. 0:08:55.840 --> 0:08:59.400 And again that number is down because of all the 0:08:59.440 --> 0:09:02.920 restriction and all the requirements going into cleaning up the 0:09:02.960 --> 0:09:05.200 site and making sure that it's ready to be built 0:09:05.240 --> 0:09:08.520 on before you even apply for the application. So the 0:09:08.559 --> 0:09:11.840 building permits that have been issued are paltry, the amount 0:09:11.920 --> 0:09:15.720 of applications are low because of all the government red tape, 0:09:15.840 --> 0:09:18.600 remember the press conferences that we're going to streamline all 0:09:18.640 --> 0:09:22.920 these things. So you've got this crazy situation out there, 0:09:23.080 --> 0:09:25.080 and plus the fact that they're paying two dollars and 0:09:25.120 --> 0:09:29.120 fourteen cents more per gallon because they have special refineries 0:09:29.160 --> 0:09:32.800 out there, and then they criticize those refineries and put 0:09:32.920 --> 0:09:36.040 more restrictions on them to the point where where the 0:09:36.080 --> 0:09:39.880 refineries there that can actually produce the type of gasoline 0:09:40.040 --> 0:09:43.800 that is demanded by that state they're moving out. So 0:09:43.840 --> 0:09:48.160 it's even more high because there's even less refineries that 0:09:48.240 --> 0:09:51.679 are doing that. So this environmental policy out in California 0:09:51.760 --> 0:09:54.320 is nuts. But at least across the country, what we're 0:09:54.320 --> 0:09:57.600 seeing as far as gasoline prices, they're starting to come down, 0:09:57.720 --> 0:10:01.400 and of course based on some of the more inexpensive 0:10:01.400 --> 0:10:03.920 they keep calling it cheap oil, but it's just less 0:10:04.000 --> 0:10:07.240 expensive oil that we have in this country. Coming up, 0:10:07.280 --> 0:10:10.160 we're going to be talking about some manufacturing numbers that 0:10:10.160 --> 0:10:14.319 we saw, which kind of a good news bad news situation. 0:10:14.440 --> 0:10:20.320 I'm Kevin Gordon, America's truck a network seven hundred WLW. 0:10:20.440 --> 0:10:23.600 What need this is the racing repord on America's drugging 0:10:23.640 --> 0:10:26.000 network on seven hundred WLW. 0:10:26.800 --> 0:10:30.000 NASCAR's anti trust lawsuit got underway on Monday and North 0:10:30.040 --> 0:10:33.720 Carolina Jerry selections and opening statements took place twenty three 0:10:33.800 --> 0:10:36.640 eleven in front Row suing NASCAR at October of twenty 0:10:36.679 --> 0:10:40.520 twenty four, claiming the sanctioning body runs a monopoly using 0:10:40.559 --> 0:10:44.320 its charter system, supplier contracts, and track agreements and to 0:10:44.360 --> 0:10:47.840 take it or leave it contracts to suppress competition and 0:10:47.960 --> 0:10:51.559 limit teams in commercial freedom. The twenty twenty five Formula 0:10:51.559 --> 0:10:54.320 One season will come down to one race. Following the 0:10:54.360 --> 0:10:57.319 action over the weekend at Abu Dhabi, Max verstapp And 0:10:57.400 --> 0:11:00.360 won the race and a championship leader Lando Norris fishing 0:11:00.480 --> 0:11:03.720 fourth for a staff and is now Norris's closest rival 0:11:04.120 --> 0:11:07.160 heading into next weekend, just twelve points behind. 0:11:07.200 --> 0:11:11.839 Norris mentioned it before, it's US, of course, nailing weekends, 0:11:12.080 --> 0:11:16.880 maximizing points, not making mistakes where others do make mistakes. 0:11:17.559 --> 0:11:20.560 If that's driving mistakes, the mistakes, but we're in it 0:11:20.760 --> 0:11:22.800 and it will keep it interesting. 0:11:23.040 --> 0:11:25.839 Oscar Piastre slipped the third place in the standings with 0:11:25.920 --> 0:11:28.360 the second place finished, he's sixteen back. 0:11:28.440 --> 0:11:31.640 Pretty pretty gut wrenching, to be honest, I think you know, 0:11:31.640 --> 0:11:36.600 it felt like I drove probably the best weekend I've 0:11:36.880 --> 0:11:40.920 had this year, if not in F one. So to 0:11:40.920 --> 0:11:45.360 not have the to not have the results US is painful. 0:11:45.960 --> 0:11:48.400 And Norris clinging to the top spot with a race 0:11:48.440 --> 0:11:48.800 to go. 0:11:49.240 --> 0:11:49.840 Car was good. 0:11:50.000 --> 0:11:52.240 Oscar finished second and he was very quick, so nothing 0:11:52.280 --> 0:11:55.959 to complain about, just strategy as the second car is 0:11:55.960 --> 0:11:57.719 always just a bit worse, and how do you know 0:11:57.840 --> 0:12:00.280 it today? So no, not even that well and even 0:12:00.280 --> 0:12:01.959 the fight for a second call, we we should have 0:12:02.000 --> 0:12:03.480 done what we did, so simple as that one. 0:12:04.280 --> 0:12:04.520 I know. 0:12:04.720 --> 0:12:08.080 This is the breathing repoard on America's Drugging Network on 0:12:08.240 --> 0:12:13.840 seven hundred WLW, say Dennison for a t N. 0:12:18.559 --> 0:12:24.280 I'm Kevin Gordon, America's struck in Network, seven hundred WLW yesterday, 0:12:24.520 --> 0:12:27.160 actually the day before yesterday, I guess since we're into 0:12:27.200 --> 0:12:31.920 a new day the ism. The Institute's supply Management came 0:12:32.000 --> 0:12:36.640 up with their numbers for manufacturing sector in November, and 0:12:37.320 --> 0:12:40.520 the top number doesn't look so good, but some of 0:12:40.520 --> 0:12:44.640 the stuff underlying that looks pretty decent. The US factory 0:12:44.679 --> 0:12:47.840 activity shrank in November the most in four months, as 0:12:47.960 --> 0:12:52.120 orders weekend, indicating manufacturers are struggling to break free from 0:12:52.120 --> 0:12:56.959 the extended period of malaise. Now, if there are less orders, 0:12:57.040 --> 0:12:59.560 that means that they're that, you know, the customers have 0:12:59.600 --> 0:13:02.800 slowed down. And why has the customer slowed down? Have 0:13:02.880 --> 0:13:06.240 they slowed down because of pricing or because of demand? 0:13:06.640 --> 0:13:09.480 And if it's demand, could it possibly be because the 0:13:09.520 --> 0:13:12.200 interest rates are too high? If people are wanting more 0:13:12.200 --> 0:13:14.880 products and they're going to go out and have some 0:13:14.920 --> 0:13:18.880 of this stuff manufactured and provided for them, that maybe 0:13:19.000 --> 0:13:23.360 the market isn't there yet because of waiting on interest 0:13:23.440 --> 0:13:27.280 rates to come down. And it was funny yesterday going 0:13:27.320 --> 0:13:32.520 into actually going into Monday, all I saw, as far 0:13:32.600 --> 0:13:37.200 as the headlines Jerome Powell to speak. And this was 0:13:37.240 --> 0:13:40.320 the thing is if some you know, you're waiting for 0:13:40.480 --> 0:13:43.400 the Messiah or somebody to stand on a mountaintop and 0:13:43.440 --> 0:13:46.360 give some sort of a grand and glorious speech in 0:13:46.440 --> 0:13:49.200 terms of what's going on as the economy is concerned. 0:13:49.360 --> 0:13:50.000 And it's been. 0:13:49.840 --> 0:13:52.520 Proven time and time again that lion Jerry Powell doesn't 0:13:52.559 --> 0:13:54.800 have a clue as far as what's going on in 0:13:54.840 --> 0:13:58.960 the economy. He's not a supply side economist. And I'm 0:13:58.960 --> 0:14:02.000 not really sure that easy knowledgeable in terms of what 0:14:02.200 --> 0:14:05.520 goes on as far as the economy is concerned at 0:14:05.520 --> 0:14:08.840 all in the first place. But again, you know, and 0:14:08.880 --> 0:14:11.160 I backed that up by the fact that when you 0:14:11.320 --> 0:14:15.600 look at his track record during the Biden administration, when 0:14:15.640 --> 0:14:19.000 you had inflation month after month after month after month 0:14:19.080 --> 0:14:22.120 going up and up and up, he kept saying, well, 0:14:22.160 --> 0:14:25.000 you know this, this inflation is transitory, and no, we 0:14:25.080 --> 0:14:27.280 don't see in a situation where we need to raise 0:14:27.320 --> 0:14:29.880 interest rates in order to slow the economy. Down any 0:14:30.160 --> 0:14:33.600 or to slow the inflation rate down, none of this 0:14:33.680 --> 0:14:37.600 sort of stuff until it got to a point in July, 0:14:37.800 --> 0:14:40.320 in June of twenty twenty two, when we hit a 0:14:40.600 --> 0:14:44.560 nine point one percent I can't emphasize that enough. Nine 0:14:44.600 --> 0:14:48.480 point one percent inflation rate. It was the highest in 0:14:48.680 --> 0:14:53.120 forty years. Let that sink in for a moment. And 0:14:53.200 --> 0:14:57.040 yet the Federal Reserve kept talking about transitory inflation. This 0:14:57.160 --> 0:14:59.240 is only temper, it's not you know, it's not going 0:14:59.320 --> 0:15:01.800 to be there forever. Well, the problem is, and I 0:15:01.880 --> 0:15:04.040 keep pointing, and I kept pointing it out at the time, 0:15:04.080 --> 0:15:08.200 even and even today given some of the numbers, is 0:15:08.200 --> 0:15:11.040 that it's not a matter if you're starting off at 0:15:11.520 --> 0:15:14.520 at you know, if you're talking about a dollar today, 0:15:15.120 --> 0:15:18.440 it's not as if the inflation for that month bumps 0:15:18.560 --> 0:15:21.040 up and then you start all over back down to 0:15:21.080 --> 0:15:25.520 a dollar. So if your inflation goes up three cents, 0:15:25.840 --> 0:15:29.920 then the next month you've got a dollar three, and 0:15:29.960 --> 0:15:32.440 then if it goes up three percent from there, then 0:15:32.480 --> 0:15:35.520 it's now up to a dollar six, but a little 0:15:35.560 --> 0:15:37.920 bit higher than a dollar six, because you're taking three 0:15:37.960 --> 0:15:42.240 percent of a dollar three, not not three percent of 0:15:42.280 --> 0:15:44.760 a dollar. And so then the following month, if it 0:15:44.800 --> 0:15:47.480 goes up three percent, it's not going up three percent 0:15:47.560 --> 0:15:50.160 based on that dollar. It's going up based on what 0:15:50.240 --> 0:15:52.880 has already been layered on top of that. And then 0:15:52.920 --> 0:15:55.120 in the month at June when it went up nine percent, 0:15:56.000 --> 0:15:58.960 it doesn't come back down from that. The only way 0:15:59.000 --> 0:16:02.160 that that comes down is if you increase activity, you 0:16:02.280 --> 0:16:06.320 increase the purchases, and you increase the economy to the 0:16:06.400 --> 0:16:09.400 point where those prices do come down because there's so 0:16:09.520 --> 0:16:13.800 much being it costs less to manufacture the facility, the 0:16:13.840 --> 0:16:17.000 items that you're producing, or the amount of items that 0:16:17.000 --> 0:16:20.040 you're buying. Look at a truck. I mean people in 0:16:20.080 --> 0:16:22.960 the trucking industry, you know all about this. If you're 0:16:23.040 --> 0:16:27.800 driving a truck and the truck is full, then you're 0:16:27.840 --> 0:16:30.480 getting the most bang for your buck in terms of 0:16:30.560 --> 0:16:35.800 those items in there, and it's costing you. It costs 0:16:35.800 --> 0:16:38.720 you the same to run that truck. But if the 0:16:39.000 --> 0:16:43.400 load is full, then you're spreading that over the total 0:16:43.440 --> 0:16:46.800 of what's in the truck itself. So if your truck 0:16:46.880 --> 0:16:50.400 is empty, then you're costs for skyrocketed because obviously you've 0:16:50.440 --> 0:16:52.760 got no revenue on the other side. But the more 0:16:52.840 --> 0:16:55.880 revenue you have to offset that that cost of operating 0:16:55.920 --> 0:16:58.920 that truck comes down per mile based on what you 0:16:59.040 --> 0:17:02.680 have in terms of you know, the cost. The cost 0:17:02.800 --> 0:17:05.919 is the same per mile, but it spread over a 0:17:06.000 --> 0:17:08.880 larger amount of revenue, and so it doesn't look as 0:17:08.920 --> 0:17:11.280 bad and it's and it helps your bottom line. 0:17:11.520 --> 0:17:12.960 Same thing in the economy. 0:17:13.160 --> 0:17:15.480 If you don't have the goods being manufactured, and you 0:17:15.520 --> 0:17:18.520 have only a few amount of goods being manufactured because 0:17:18.520 --> 0:17:21.600 of things slowing down, but the demand is there, the 0:17:21.640 --> 0:17:23.760 price of those items are going to go up. But 0:17:23.840 --> 0:17:27.000 the more that it's available, then those prices come down. 0:17:27.359 --> 0:17:30.400 So and then on top of this, and I've been 0:17:30.400 --> 0:17:34.639 talking about this at nauseum here for several months, is 0:17:34.640 --> 0:17:38.399 that if you once you factor in not only you 0:17:38.440 --> 0:17:41.680 have the prior inflation of the Biden administration that you're 0:17:41.680 --> 0:17:44.919 dealing with. Now now you can you know, control that 0:17:44.960 --> 0:17:48.480 to a certain extent by lower energy prices and those 0:17:48.520 --> 0:17:51.640 types of things, cutting out some of the government regulations 0:17:51.640 --> 0:17:54.720 so it doesn't cost you so much in terms of compliance, 0:17:55.000 --> 0:17:57.560 which adds to the cost of the thing, the item 0:17:57.600 --> 0:18:01.439 that you're selling. So those prices will come down. But 0:18:01.920 --> 0:18:06.919 when you have so much activity going on, then it 0:18:07.200 --> 0:18:11.720 increases the amount of items available. So the only way 0:18:11.760 --> 0:18:14.400 to get those prices down is more volume. And if 0:18:14.400 --> 0:18:17.240 you have more volume and more people buying, then you 0:18:17.320 --> 0:18:21.879 wind up having the prices come down tremendously. But what 0:18:21.960 --> 0:18:25.360 they're not talking about is when you look at how 0:18:25.400 --> 0:18:32.119 many contracts have been negotiated the UAW, the railroad workers, ups, 0:18:32.520 --> 0:18:39.280 the dock workers. I mentioned railroad who else the well, 0:18:39.280 --> 0:18:42.240 I mentioned auto workers, and there's a couple other ones, 0:18:42.280 --> 0:18:45.480 But there's been some major contracts the dock workers on 0:18:45.520 --> 0:18:47.760 both the East Coast and the West coast. When you 0:18:47.800 --> 0:18:52.440 factor in those those prices in terms of the increase 0:18:52.720 --> 0:18:56.560 to produce those items or to move those items, that 0:18:56.680 --> 0:19:00.280 adds to the cost of the item itself. And so 0:19:00.840 --> 0:19:05.920 when you have added prices in terms of payroll is concerned, 0:19:06.480 --> 0:19:08.439 those prices are going to go up. You're not going 0:19:08.520 --> 0:19:11.440 to go back in at some point in time and say, okay, 0:19:11.840 --> 0:19:16.639 you know, in this contract UAW or railroad workers, you 0:19:16.720 --> 0:19:21.359 are getting a ten percent increase in your salary each year. 0:19:22.040 --> 0:19:25.040 And then when inflation starts coming down, you're not going 0:19:25.119 --> 0:19:26.800 to go back in there and say, well, we're going 0:19:26.840 --> 0:19:30.399 to take a percentage or two percent off of your pay. No, 0:19:30.600 --> 0:19:32.680 that pay is in there, and that's already baked in. 0:19:33.280 --> 0:19:36.760 Now again, I'm not criticizing, I'm not saying that people 0:19:36.840 --> 0:19:40.760 don't deserve higher wages, and especially when you take into 0:19:40.840 --> 0:19:45.080 consideration that there was such a freeze on wage increases 0:19:45.440 --> 0:19:48.879 going back to some of the pre pandemic some of 0:19:48.880 --> 0:19:52.040 these government some of these contracts with these union workers, 0:19:52.640 --> 0:19:55.480 it was locked into place and didn't come up for 0:19:55.680 --> 0:19:59.199 negotiation until twenty twenty, And of course they're not going 0:19:59.280 --> 0:20:02.240 to do anything to go siations during twenty twenty during 0:20:03.000 --> 0:20:07.600 the pandemic, So whatever contract expired in twenty twenty was 0:20:07.640 --> 0:20:10.800 pushed off and wasn't negotiated on until twenty twenty one, 0:20:11.119 --> 0:20:14.159 and even into twenty twenty two when they finally hashed 0:20:14.200 --> 0:20:16.480 out all the deals, because again, when you had the 0:20:16.520 --> 0:20:19.080 supply chain issues and that going on, it was no 0:20:19.200 --> 0:20:22.000 time to go back in and renegotiate these contracts. So 0:20:22.040 --> 0:20:24.320 a lot of these contracts were on hold and people 0:20:24.359 --> 0:20:26.639 had not had some of the workers had not had 0:20:26.680 --> 0:20:30.639 a pay increase since twenty nineteen. So when you factor 0:20:30.720 --> 0:20:33.840 that into that twenty twenty three contract, of course that 0:20:34.840 --> 0:20:36.960 number has got to be made up. You've got to 0:20:37.000 --> 0:20:40.680 try to increase that a little bit because they have 0:20:40.760 --> 0:20:45.000 been basically losing money because if your price is fixed, 0:20:45.200 --> 0:20:48.000 if your hourly rate is fixed, and the inflation that 0:20:48.080 --> 0:20:50.439 was during the Biden administration was going up and up 0:20:50.480 --> 0:20:53.640 and up, you're actually losing money on a daily basis. 0:20:53.840 --> 0:20:57.200 So catching that up. But once that contract is in there, 0:20:57.440 --> 0:20:59.520 and that is part of what it costs to either 0:20:59.640 --> 0:21:03.920 move these goods, manufacture these goods, sell these goods, import 0:21:03.960 --> 0:21:07.080 these goods, export these goods, that's all going to factor 0:21:07.119 --> 0:21:09.440 in and that price is not going to come down. 0:21:09.760 --> 0:21:13.760 So if that's and that is in the inflation number now, 0:21:14.119 --> 0:21:16.880 and rather than trying to blame it off on tariffs 0:21:16.960 --> 0:21:20.000 or blame it off on other things, be specific about 0:21:20.040 --> 0:21:22.960 where these increases are coming from and be straight with 0:21:23.040 --> 0:21:24.080 the American. 0:21:23.640 --> 0:21:25.960 Public so that they get a full picture of. 0:21:25.920 --> 0:21:28.600 What's going on. And that's the thing that I've been 0:21:28.640 --> 0:21:31.320 talking about. Now, getting back to manufacturing, we'll pick this 0:21:31.480 --> 0:21:35.800 up coming up, because manufacturing numbers are down again. Is 0:21:35.840 --> 0:21:38.760 it because of the consumer demand or is it because 0:21:38.760 --> 0:21:41.000 of the weight and see in terms of people not 0:21:41.280 --> 0:21:44.320 wanting to jump in and have that increase as far 0:21:44.440 --> 0:21:47.840 as the interest rates being high and what that does 0:21:47.880 --> 0:21:51.240 to your operating costs. I'm Kevin Gordon, America Struck a Network. 0:21:51.320 --> 0:21:53.280 Seven hundred WLW. 0:21:58.320 --> 0:22:00.720 Here's your trucking forecast that Tri State. It in the 0:22:00.720 --> 0:22:03.440 rest of the country and the tri sit overnight, mostly cloudy, 0:22:03.440 --> 0:22:06.240 the low down to twenty mostly sunny. Wednesday, highs in 0:22:06.280 --> 0:22:09.359 the mid thirties, partly Sunday. Thursday high of thirty one, 0:22:09.520 --> 0:22:13.160 partly sunny. Friday a high of thirty five Nationally more 0:22:13.200 --> 0:22:15.680 moderate to heavy snow moving across the interior New England 0:22:15.680 --> 0:22:19.280 States through tonight. Arctic air forecast over the Midwest Thursday, 0:22:19.480 --> 0:22:22.440 while snow showers linger across the Great Lakes region along 0:22:22.440 --> 0:22:25.480 with the Great Basin and the Rockies. Moderate to heavy 0:22:25.560 --> 0:22:28.280 rain emerging along the western to central Gulf Coast. 0:22:32.320 --> 0:22:36.000 Seven hundred WLW. I'm Kevin Gordon. This as America Struck 0:22:36.040 --> 0:22:38.360 a Network. If you miss any of our previous segments 0:22:38.400 --> 0:22:40.680 or any of our other shows, hit up that iHeartRadio 0:22:40.720 --> 0:22:43.000 app and of course brought to you by our friends 0:22:43.040 --> 0:22:46.240 at Ross Truck Centers. Came back to this manufacturing slump 0:22:46.320 --> 0:22:50.600 deepens in November again. There's some mixed bag of information 0:22:50.680 --> 0:22:54.080 in here. Again getting back to the original paragraph, US 0:22:54.119 --> 0:22:56.920 factory activity shrank in November, is most of the most 0:22:57.000 --> 0:23:00.800