|Day's Range||552.60 - 562.00|
In Week 23, Eastern US rail giant CSX’s (CSX) freight traffic rose slightly, by ~1% YoY (year-over-year). This year, the railroad is slowly getting back on track after weakness in 2017. In Week 23, CSX’s carload volumes grew YoY to ~69,400 units from ~68,700, less than competitor Norfolk Southern’s (NSC), which rose 2% YoY, and US railroads’ (XLI), which rose 2.8% YoY.
Kansas City Southern (KSU) is the smallest Class I railroad company in the United States. In Week 22, it reported a slight 0.84% contraction in its carload traffic. This year, the US-Mexico railroad company’s carload volume growth has had a bumpy ride. In Week 22, KSU’s carload volumes fell YoY to just over 24,200 carloads from ~24,400 carloads. In contrast, US railroad companies’ (XTN) carload volumes gained 0.2% YoY in the week.
By Allison Lampert MONTREAL (Reuters) - The Canadian province of Quebec will offer C$100 million ($77.1 million) in loans and guarantees on loans to steel and aluminum companies hit by recent U.S. tariffs, the province's economy minister said on Monday. Companies that transform the metals will benefit from the program after the United States recently slapped a 25 percent tariff on steel and a 10 percent tariff on aluminum imports. Economy Minister Dominique Anglade told reporters in Montreal that the program came after aluminum and steel companies received feedback from clients who are not willing to pay the tariffs.
Omaha-headquartered Union Pacific (UNP) is a western US railroad giant, competing with BNSF Railway (BRK.B). In Week 22, UNP’s carload traffic grew 1.8% YoY (year-over-year) to ~90,800 railcars, excluding intermodal, from ~89,200. The company’s carload traffic was marginally higher than that of rival BNSF Railway, which recorded 1.5% YoY growth. Union Pacific’s carload volume growth was much higher than the 0.22% gains recorded by US railroad companies (XTN).
The Canadian government has opted to buy a pipeline project that will more than double the oil its energy industry can send to the West Coast — and then on to new markets in Asia. The purchase comes, coincidentally, during the thick of a bitter trade dispute with the U.S., the only customer for its crude oil. By building the Trans Mountain expansion, Canada will be able to sell oil outside North America, bringing in higher prices for its oil.
The smallest US Class I railroad, Kansas City Southern (KSU), saw its carload traffic fall 1.4% YoY (year-over-year) in Week 20 (ended May 19). This year, the US-Mexico railroad’s carload volume growth has had a bumpy ride. In Week 20, the railroad’s carload traffic fell YoY to ~24,400 carloads from ~24,800. In contrast, US railroads’ (XTN) carload traffic rose 1.2% YoY.
In Week 20 (ended May 19), eastern US major Norfolk Southern’s (NSC) carload traffic grew 3.2% YoY (year-over-year) to ~70,000 railcars (excluding intermodal) from ~67,900. The company’s carload traffic growth was higher than the 1.2% YoY rise posted by US railroads (GWR) and competitor CSX’s 0.8% YoY growth. This year, NSC’s carload volumes have grown more than CSX’s.
In Week 19, Canada’s largest rail carrier, Canadian National Railway (CNI), reported a 7.5% YoY (year-over-year) rise in carload traffic. It moved ~65,200 carloads that week compared to ~60,700 in Week 19 of 2017. Its carload growth was almost the same as the 7.9% rise reported by Canadian railroads in the same category. Compared to US railroads’ 5.3% gain that week, CNI’s carload growth was higher. However, it lagged behind competitor Canadian Pacific Railway’s (CP) 9.2% YoY carload volumes growth.
Genesee & Wyoming (GWR) receives between 60% to 65% of total revenues from its North American operations. The railroad’s North American railcar traffic expanded 4.9% YoY (year-over-year) on a same-railroad basis in April. New railroads added 518 carloads to North American volumes that month.
In Week 18, Canada’s largest rail carrier, Canadian National Railway (CNI), saw its carload traffic rise 5.8% YoY (year-over-year) to ~65,800 railcars from ~62,200. Its growth was almost on par with US and Canadian railroads’ growth. In comparison, competitor Canadian Pacific Railway’s (CP) carload volumes grew 9.7%.
In the week ended May 5, Berkshire Hathaway–owned BNSF Railway’s (BRK.B) carload volumes grew by double digits, by 10.7% YoY (year-over-year) to ~98,100 railcars from ~88,600, doubling the growth seen by competitor Union Pacific (UNP). The latter’s carloads grew 5.2% in Week 18, while US rail carriers’ (IYT) grew 6.4%.
Global benchmark Brent crude jumped back Monday to its highest level in 3½ years, as violence in the Middle East fed concerns over the flow of oil in the region. The gain for U.S. benchmark oil prices weren’t quite as impressive with traders wary of OPEC’s ability to offset crude supply declines and growing U.S. production. On the New York Mercantile Exchange, June West Texas Intermediate crude (CLM18.NYM) tacked on 26 cents, or 0.4%, to settle at $70.96 a barrel after trading as high as $71.26.
North American operations contribute 60%–65% to Genesee & Wyoming’s (GWR) total operating revenue. In March, its North American carloads expanded 2.8% YoY (year-over-year) on a same railroad basis. Carloads from new railroads added 632 carloads to North American volumes.
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Could Gold Catch a Bid if Equities Stay Weak in 2018? The Federal Reserve has long been expecting inflation to pick up. Its targeted 2% inflation rate has been eluding it for more than five years, but the latest US jobs report indicates that inflation could finally get a boost.
TORONTO (Reuters) - Canada's main stock index gained on Monday, boosted by a bounce-back in shares of cannabis producers and sharp gains for gold miners as bullion prices hit a four-month high. * The Toronto Stock Exchange's S&P/TSX composite index closed up 63.63 points, or 0.39 percent, at 16,371.81. Seven of its 10 main sectors were higher, while consumer staples and discretionary groups weighed. * The materials group, which includes precious and base metals miners and fertilizer companies, added 1.6 percent as a weaker U.S. currency boosted the price of gold to its highest since ...
Investing.com - Crude oil futures were mixed in Asia on Thursday after US industry estimates of weekly inventories showed unexpected refined product builds.
Investing.com - The American Petroleum Institute said Wednesday that US crude oil stocks fell 4.992 million barrels last week, below an expected decline of 5.148 million barrels seen.