Transport Stocks Stall On Oil Bounce
Last week, the iShares Dow Jones Transport Index(NYSE:IYT) rallied higher despite the major stock and commodity sell off. The move higher for the transport indexes was obviously caused by the decline in oil prices. This morning oil and gasoline prices are moving higher today. WTI oil is trading higher by $2.16 to $99.32 a barrel. The United States Oil Fund(NYSE:USO) is also moving higher by 0.60 cents to $39.45 a share. The United States Gasoline Fund(NYSE:UGA) is rallying higher by $1.28 to $52.27 a share. The transportation stocks are certainly being effected by the higher price of energy.
Some leading energy stocks that are coming under some minor selling pressure this morning include FedEx Corp.(NYSE:FDX), CSX Corp.(NYSE:CSX), and Delta Air Lines Inc.(NYSE:DAL). Traders and investors must continue to follow the energy prices closely, as higher energy could adversely effect many of the leading transportation stocks.