The fundamental use of railway freight for heavy industrial and bulk cargo still continues.
You can see this as Susquehanna Financial Group’s Bascome Majors shared this graph with his clients this Tuesday morning.
It shows where rail freight is relative to a 15-year period for this market segment.
Global intermodal and thermal coal might be down for a combination of reasons...
...but the railway service in the heavy goods and bulk cargo is holding up so far.
That said, be sure to check the AAR Wednesday data release tomorrow morning for an update.
If grain exports to China start to move soon, that should drive this market sector up further.