Railroad Roundup: AAR North American Railroad Traffic (Week 11)

Summary:

Week 11 volumes grew 3.7%, albeit on easier comps, marking the 10th straight week of positive growth. This is also the second week in a row that all three subcategories (merchandise, bulk and intermodal) contributed to growth.  The main drivers were intermodal containers, crushed stone and coal, which, combined, accounted for 70% of volume growth.  For the second straight week, KSU led the group higher, with close to 30% growth, though was largely expected due to easier flood-related comps. Although not quite as strong, CNR’s positive momentum continued, reporting 16.4% growth (accounted for ~70% of weekly y/y growth). UNP improved again this week at 3.2%, while CP, NSC and CSX trailed at +0.6%, -0.6% and -5.9%, respectively.