Dow Transports attempted bounce is less goods transport, more travel

Expeditors International of Washington

19/09/2022 19:20

** The Dow Jones Transport average  .DJI  was up 1.7% on Monday
as it worked on a comeback after a 5% plunge on Friday, in its
biggest one-day drop since May 18, following a bleak update from
FedEx  FDX.N  the night before  urn:newsml:reuters.com:*:nL4N30N2BP
    ** Still the Monday bounce was massively dependent on
rallying airline stocks while goods transporters were the
weakest of the bunch. And even at its peak so far on Monday the
DJT was still more than 3% below its Thursday night close 
    ** The index, often seen as a key indicator of the health of
the economy, had only Matson Inc  MATX.N , a provider of ocean
transport and logistics, down 1.9% and Expeditors Int'l
 EXPD.O , marginally lower, as the only two components in the
red
    ** Rail transporters Norfolk Southern  NSC.N  and CSX Corp
 CSX.O  eked out 0.5% and 0.8% gains respectively while Fedex
managed a 1.1% gain after falling more than 21% on Friday
    ** In airlines Alaska Air  ALK.N , up 3.4% and American
Airlines  AAL.O  up 3.5% were jockeying for first place while
the S&P 500 airline subsector index  .SPLRCALI  was up 3.0%  
    ** It's possible that the airlines gain was related to U.S.
President Joe Biden's proclamation in an interview aired on
Sunday that "the pandemic is over." 
    ** But cruise lines Carnival Corp and Royal Caribbean
 RCL.N  were little changed, suggesting otherwise, especially as
Stifel analyst Steven Wieczynski was bullish on RCL, raising his
PT to $70 from $60 and suggesting bookings materially
accelerated since Labor Day.  
    ** Ahead of the lot was transport and insurance provider
Landstar System  LSTR.O , up {LSTR.O;PCTCHNG:1}%

 (Reporting by Sinéad Carew;)
 ((sinead.carew@thomsonreuters.com;))