Transports Ship Markets To The Downside
Many traders and investors will follow the transportation index very closely. When the transport stocks trade higher it is usually considered a sign of expansion and economic growth. On the flip side, when the transport stocks decline or sell off it is usually a sign of economic contraction and slower economic growth. This morning, the iShares Dow Jones Transportation ETF (NYSEARCA:IYT) is trading lower by $1.57 to $91.86 a share. This is a 1.60 percent decline for this leading and highly followed sector. Short term traders can watch for some intra-day support around the $91.50, and $91.00 levels.
Some of the leading transport stocks that are declining lower this morning include FedEx Corp (NYSE:FDX), CSX Corp (NYSE:CSX), and Union Pacific Corp (NYSE:UNP). All of these leading stocks will usually trade right in line with the S&P 500 Index which is also trading lower to start the day.