Long Term Perspective

 

 

As of July 17, 2013, the 20 companies that comprise this index were: Alaska Air Group, C.H. Robinson Worldwide Inc., Con-way Inc., CSX Corp., Delta Air Lines, Expeditors International of Washington Inc. FedEx Corp., GATX Corp., J.B. Hunt Transport Services Inc., JetBlue Airways Corp., Kansas City Southern, Kirby Corp., Landstar System Inc., Matson, Inc., Norfolk Southern Corp., Ryder System Inc., Southwest Airlines Co., Union Pacific Corp., United Continental Holdings, and United Parcel Service Inc.

 

Typically, changes in the Dow Jones Transportation Index will lead changes in the industrial average. In 2013, the Transportation index spiked 39.5 percent after rebounding 5.7 percent the year before.  The 10-year average improved to 10.7 percent in 2013 from 9.8 percent in 2012.

 

Short Term Perspective

 

 

The Transportation index was up 28.4 percent in September on a year-ago basis, compared to 34.5 percent the month before.

 

 

The Transportation index advanced 0.5 percent in September after a 3.3 percent jump the prior month.  The Transportation index is considered a leading indicator for the Industrials index, so it is important to keep monitoring trends here – even if the index is at odds with other stock market measures.