A barometer of strength of business is set up on the West coast, in the ports of Long Beach and Los Angeles. One of the busiest seaports is blowing up with business and activity of exports, giving shipping exchange traded funds (ETFs) a potential reason to set sail.
The nation’s busiest seaport complex finally has some good news to celebrate after its monthly trade numbers, reports Ronald D. White for The Los Angeles Times. The Los Angeles Harbor Grain Terminal is used as a barometer of strength of exports out of the Southern California ports. [Why shipping signals economic strength.]
In November, exports from Los Angeles rose nearly 18% to 149,148 cargo containers compared with 126,602 during the same month last year. [Why consider a shipping ETF investment?]
Will this run-up ingrain exports last and help support the transportation sector? For now, the weak U.S. dollar for making grains more affordable to customers in China, South Korea, Taiwan, Indonesia and Vietnam. As long as the export numbers keep a steady growth, it is also good news for a long line of people who work on the export food chain of dockworker, trucking and railroad jobs. [What the shipping sector represents.]
For more stories about shipping, visit our shipping category.
- Claymore/Delta Global Shipping (NYSEArca: SEA): up 29% year-to-date
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.