North American rail traffic down 1.7% for the week ending October 28

The Association of American Railroads or AAR, reported U.S. rail traffic for the week ending October 28 as well as volumes for October 2023. U.S. railroads originated 921,591 carloads in October 2023, down 0.3% or 2,921 carloads, from October 2022. U.S. railroads also originated 1,075,731 containers and trailers in October 2023, up 2.2%, or 23,201 units, from the same month last year. Combined U.S. carload and intermodal originations in October 2023 were 1,997,322, up 1%, or 20,280 carloads and intermodal units from October 2022. “Combined carload and intermodal volumes on U.S. railroads in October were the most for any month since June 2021, a span of 28 months,” said AAR Senior Vice President John T. Gray. “Part of that relates to intermodal seasonality and concerns over Panama Canal capacity, but part of it also reflects an economy that remains resilient as reflected by recent strong GDP data.”Excluding coal, carloads were up 9,363 carloads, or 1.4%, in October 2023 from October 2022. Excluding coal and grain, carloads were up 13,736 carloads, or 2.5%. Total U.S. weekly rail traffic was 499,389 carloads and intermodal units, down 1.2% compared with the same week last year. Total carloads for the week ending October 28 were 227,575 carloads, down 4.2% compared with the same week in 2022, while U.S. weekly intermodal volume was 271,814 containers and trailers, up 1.5% compared to 2022. Three of the 10 carload commodity groups posted an increase compared with the same week in 2022. They were chemicals, up 1,334 carloads, to 31,336; petroleum and petroleum products, up 1,182 carloads, to 9,978; and farm products excl. grain, and food, up 246 carloads, to 16,788. Commodity groups that posted decreases compared with the same week in 2022 included coal, down 7,264 carloads, to 63,676; nonmetallic minerals, down 1,573 carloads, to 32,423; and grain, down 1,303 carloads, to 22,941. North American rail volume for the week ending October 28, on 10 reporting U.S., Canadian and Mexican railroads totaled 339,642 carloads, down 2.6% compared with the same week last year, and 353,354 intermodal units, down 0.8% compared with last year. Total combined weekly rail traffic in North America was 692,996 carloads and intermodal units, down 1.7%. Publicly traded companies in the space include CSX (CSX), Canadian National (CNI), Canadian Pacific Kansas City (CP), Kansas City Southern (KSU), Norfolk Southern (NSC), Union Pacific (UNP), Trinity Industries (TRN), Greenbrier (GBX), FreightCar America (RAIL), Wabtec (WAB) and Rail Vision (RVSN).