Dow transport index hits 52-week high
Gains in 20-stock index paced by UPS Inc. and FedEx Corp.
The 20-stock Dow Jones Transportation Index today notched a 52-week high of $4,262.86 and has more than doubled its 52-week low price set at the stock market's recent nadir of March 2009.
The gains on Jan. 11 were paced by UPS Inc. and FedEx Corp., both of which rose strongly in the wake of UPS's announcement on Jan. 8 that it would raise fourth-quarter earnings estimates in part due to stronger demand for domestic and international shipping services.
Shares of oil tanker company Overseas Shipholding Group Inc. also rose after an analyst from the Jeffries & Co. brokerage upgraded the stock, citing an expected pickup in worldwide crude oil demand that will cause the Organization of Petroleum Exporting Countries (OPEC) to increase production and boost demand for tanker services.
Despite strong gains in the past 10 months, the index is still about 1,200 points below its all-time high of $5,446.00, set in July 2007.
Of the index's 20 components, 16 are companies that are mostly or exclusively involved in the movement of goods. The other four companies are considered passenger airlines that move freight as a secondary function.
More articles by Mark B. Solomon
For more DC Velocity, become a fan on Facebook and follow us on Twitter.
Resources Mentioned In This Article
Related Articles
- Top 10 logistics challenges for 2010 (and beyond) – Economists tell us the economy is improving, but the logistics/supply chain community will likely face challenges throughout the year. Here's what to watch for. (March 9, 2010)
- Parcel sector lone bright spot in USPS's dismal 10-year outlook – Gains in package traffic won't be enough to offset decline in overall mail volumes, study says. (March 9, 2010)
- New data could reshape infrastructure debate – Forthcoming research could finally provide numbers to show how investment in roads and bridges would pay off for entire nation. (March 8, 2010)
- YRC's next challenge: pensions – After brush with bankruptcy, troubled trucker now faces $500 million in pension obligations to unionized employees. (March 5, 2010)
- Highway funding impasse ends – Congress clears way for millions in highway fund disbursements to resume. (March 4, 2010)
Feedback: What did you think of this article? We'd like to hear from you. DC VELOCITY is committed to accuracy and clarity in the delivery of important and useful logistics and supply chain news and information. If you find anything in DC VELOCITY you feel is inaccurate or warrants further explanation, please ?Subject=Feedback - : Dow transport index hits 52-week high">contact Editorial Director Peter Bradley. All comments are eligible for publication in the letters section of DC VELOCITY magazine. Please include you name and the name of the company or organization your work for.


