Rail traffic grew
Canadian Pacific Railway (CP) recorded a YoY (year-over-year) improvement in its overall rail traffic in Week 23, which ended on June 8. The company hauled 52,636 railcars, containers, and trailers in the week—up 2.2% from the 51,478 units it carried in Week 23 of 2018.
Two of the seven Class I railroad companies reported a YoY decline in their freight rail traffic during the week. Canadian National Railway (CNI) was the other company that reported rail traffic volume growth of 1.2%. Norfolk Southern (NSC) reported the biggest fall of 9.7%.
Higher intermodal volumes mainly drove the YoY increase in Canadian Pacific’s overall rail traffic. The company’s intermodal traffic rose 7% YoY in Week 23 to 19,268 containers and trailers from 18,007 units. During the week, Canadian Pacific was the only railroad company that registered intermodal volume growth. CSX (CSX) recorded the highest intermodal volume decline of 10.1%.
Carload traffic fell
Canadian Pacific’s carload traffic fell 0.3% YoY to 33,368 railcars from 33,471 railcars in Week 23 of 2018. The company’s carload traffic, excluding coal and coke, grew 3.9% YoY to 28,339 wagons from 27,284 wagons. However, the company’s coal and coke traffic fell 18.7% YoY to 5,029 units from 6,187 units in Week 23 of 2018.
During the week, Canadian Pacific registered volume growth across the potash, fertilizer, Sulphur, forest, metals, minerals, and automotive commodity groups. The company recorded a lower carload volume across grain, coal, energy, plastics, and chemicals products.
During the week, Canadian National Railway and CSX were the only two railroad companies that recorded carload traffic growth. The two companies reported carload volume growth of 3.5% and 0.9%, respectively. BNSF Railway saw the highest volume decline of 10.9%.
Canadian Pacific stock has returned 30.6% year-to-date. The stock has outpaced the First Trust Nasdaq Transportation ETF (FTXR), which has risen 8.3%. FTXR has allocated 42.8% of its funds to the ground freight and logistics services industry.