North American rail traffic down 3.4% for the week ending July 29

The Association of American Railroads or AAR, reported U.S. rail traffic for the week ending July 29, , as well as volumes for July 2023. U.S. railroads originated 875,660 carloads in July 2023, down 0.6%, or 5,599 carloads, from July 2022. U.S. railroads also originated 967,553 containers and trailers in July 2023, down 5.5% or 56,737 units, from the same month last year. Combined U.S. carload and intermodal originations in July 2023 were 1,843,213, down 3.3%, or 62,336 carloads and intermodal units from July 2022. “As the economy goes so goes rail traffic, and we’re seeing that with the mixed results across volumes being affected by larger varying market conditions,” said AAR Senior Vice President John T. Gray. “The three non-July 4 weeks in July were the three highest volume intermodal weeks of the year, and carloads of chemicals rose in July for the first time in almost a year. At the same time, July was exceptionally weak for grain carloadings. July rail volumes are always affected by Independence Day closures, so we are cautious to put too much stock in this month’s results, but there are reasons for both optimism and caution.” North American rail volume for the week ending July 29, on 10 reporting U.S., Canadian and Mexican railroads totaled 336,501 carloads, up 0.8% compared with the same week last year, and 333,238 intermodal units, down 7.3% compared with last year. Total combined weekly rail traffic in North America was 669,739 carloads and intermodal units, down 3.4%. North American rail volume for the first 30 weeks of 2023 was 19,360,049 carloads and intermodal units, down 4.1% compared with 2022. 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 (TRN) Greenbrier (GBX), Wabtec (WAB), and FreightCar America (RAIL).