The iShares Dow Jones Transportation Index (IYT) exchange traded fund (ETF) has been hit-or-miss recently as rising energy prices take their toll. IYT jumped today, after Burlington Northern Santa Fe Corp., a railway operating service and one of the fund’s top holdings, reported third-quarter earnings that beat analyst estimates. Shares of Burlington rallied 5% to $87.16. Revenue for the quarter rose to $4.07 billion, also above the $4.04 billion analyst estimate, reports Wanfeng Zhou for Thomson Financial.
IYT was up 8% since the end of 2006. In comparison, the ETF that tracks the Dow Jones industrial average, DIAMONDS Trust, Series 1 (DIA) has gained 9.6% year-to-date. However, while many other indexes have rebounded nicely since the market low on Aug. 15, IYT has been a little slow, advancing only 3%.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. 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.