ETF Trends
ETF Trends

The Dow Jones Transportation Index (IYT) hit a three-week low after Union Pacific Corp. (UNP) lowered its outlook for the fourth quarter.  Union Pacific is 12.9% of IYT’s portfolio. IYT is up 0.5% year-to-date.

It looks like the rising cost of fuel is affecting the transportation sector. Thomson Financial News reported that the railroad operator lowered its projected earnings to between $1.70 and $1.80 a share, down about 20 cents from a previous forecast. The company cited rising diesel costs and a lag in fuel surcharge recoveries.

Iytchart

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.