Rail Traffic Signals Continued Growth
- Posted by ToddSullivan
- on October 19th, 2013
Total N. American rail traffic came in at 714k carloads last week, comfortably ahead of last year. All categories Saw nice YOY gains except stone & related products and grains saw minute declines. Coal of course continued its declines but that is expected..
Here is the chart:
I should note that the 714k carloads while is just slightly below the high level from last year and the drop in coal YOY accounts for the difference. That gives us three straight weeks where N. American rail traffic has met/topped the highest level from last year.
Now, we are not crushing the numbers which tell me that we will see economic growth continue albeit at a less than stellar pace. I would not get too excited/depressed over the early earnings reports. The banks ($WFC, $BAC) were good and $JPM was decent ex the litigation issues. It is too early to tell where things in general will end up as Q3 comes in but I think we’ll see more of what we saw the first half of the year.
The one area that might get hit would be the retailers and consumer confidence fell in early October due to the incessant BS coming out of Washington. Those workers who were furloughed more likely than not were notified well ahead of the actual event and would have adjusted their spending in Sept in anticipation. Furloughed workers I’m gonna go out on a limb and say were not buying anything but the essentials and a host of other folks who feared a prolonged shut down and/or possible default would have correspondingly retrenched.
I’m thinking a decent amount of that comes back eventually but I am not sure it happens in the next two weeks.
To see more posts on any of the companies mentioned in this article, enter their stock ticker symbol in the search box.
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.
Todd's investing strategy is essentially long with the rare short. He seeks to buy undervalued issues with an upcoming catalyst that will help them realized.... More »
aapl acas ackman aig AN bac BAM BBI bgp BPO buffett CC CODi CRE davidson dow einhorn employment ETFC f fairx FNMA fnmas ggp hhc housing IGOI jcp jmba joe mbi mcd mgm MO oesx PM rail sbux seth klarman SHLD spg spy theory VIC xom