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Freight Rail Traffic Data: The Economy

Every week, the AAR (Association of American Railroads) releases weekly freight rail traffic data from major North American railroads. As the economy improves so should activity in the rails.

July 11 – Freight Rail Traffic

US railroad companies’ (XTN) overall rail traffic expanded 8.6% YoY (year-over-year.)

Railroads moved ~485,200 railcars vs. ~446,700 in the same week last year.

Rail traffic expanded 12% YoY to ~244,700 trailers and containers from ~218,500 units.

If railroads are shipping more goods, it stands to reason that cars need to be added or replaced from time to time. As a result, we are watching institutional investors appetite for this industry group.

American Railcar Industries (ARII) designs and manufactures railcars and the components used to make railcars. The stock broke out on Friday on above-average volume. Relative strength line is rising.


ARII Breakout MarketSmith


CSX (CSX) earnings easily topped second-quarter estimates amid solid revenue growth and improving operating efficiency. The strong results from the first big rail operator to report this earnings season are a good sign for the industry and economy. CSX stock jumped toward a buy point. – Source Investors Business Daily


CSX Earnings


As the economy improves, watch out for other companies to report similar results. GBX, GATX,

CSX competition - railcars freight

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Happy Trading,


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