This morning, the major stock indexes are coming under some early selling pressure. While all of the leading sectors are under pressure it is the highly followed iShares Dow Jones Transportation Index (NYSE:IYT) that is trading lower by 1.87 percent. The transport index is very important to many traders and investors as it will usually represent economic growth and expansion. When the transport index declines it will generally signal economic contraction. Traders and investors must realize that the Dow Jones Transport Index has been in a wide trading range since May 2011.
Some of the leading transportation stocks that are trading lower this morning include FedEx Corp.(NYSE:FDX), Union Pacific Corp.(NYSE:UNP), and United Continental Holdings Inc.(NYSE:UAL). Traders should watch for intra-day support on the IYT around the $95.00 area. Should the IYT bounce off the morning lows it is likely that the leading transportation stocks will also catch a bid and trade off the morning lows.