Shipment Index Falls 4.7 Percent

The closely watched Cass Freight Index of U.S. shipping slipped 4.7 percent in October to its lowest point since the spring, reversing several months of gains and signaling the economic recovery remains fragile.

The decline in the shipment index from September to October was the first month-to-month drop since a slight drop in July and left the index at its lowest point since May.

The setback in October came after a September report in which the index of freight shipping reached its high point in 2009, bolstering suggestions that retailers and manufacturers were starting to push more goods through pipelines as the recession was ending.

But the shipment index, also down 12.3 percent in October against the same month a year ago, suggests shippers remain cautious.

The Cass Freight Index measure of shipper expenditures also slipped back, falling 2.5 percent in October from the 2009 high set in September.

On a year-over-year basis, the spending index was down 22.9 percent compared to October 2008.