US and Canadian Freight Rail Traffic Up, Mexican Traffic Down
US freight rail traffic
Every week, the AAR (Association of American Railroads) publishes the North American freight rail data for the previous week. The latest is for the week ended January 14, 2017. During this week, US rail traffic (UNP) rose 2% to over 516,000 units from over 506,000 units in the week ended January 16, 2016. If you want to compare this week’s freight volume data with that of the previous week, read Your Freight Rail Traffic Rundown for the First Week of 2017.
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In the week ended January 14, 2017, US carloads rose 4.4% to over 253,000 railcars, from close to 243,000 railcars in the week ended January 16, 2016. However, intermodal volumes fell to 263,000 from ~264,000 units during the same period last year.
AAR’s outlook for 2017
AAR president and CEO Edward R. Hamberger stated that “We remain focused on providing the best possible rail network for our customers and all Americans.” He added that “as a result, the freight rail industry will advocate for a simpler and fairer tax code to enhance U.S economic development, promote growth and reduce debt. Freight railroads will also push for a sustainable funding source that provides for aggressive investment in public infrastructure.”
Canadian and Mexican rail traffic
In the latest reported week, Canadian rail traffic (CNI) rose 10.5%. There was a 3.6% increase in intermodal traffic. Mexican railroads’ (KSU) carloads fell 13.5% during the week ended January 14, 2017, while intermodal traffic rose 2.6%.
Investors interested in dividends ETFs could opt for the Vanguard Dividend Appreciation ETF (VIG). All US Class I railroads (NSC) are part of VIG’s portfolio holdings. Continue to the next part for a look at Norfolk Southern’s carloads for the week ended January 14, 2017.