(Source: The Lope, June 18, 2019)
NEW YORK — Concerns over the global economy continue to dominate the public discourse. If the economy is dismal, then corporate earnings could decline. Sans corporate earnings growth, the only thing that can drive stocks higher is a Fed rate cut or more government stimulus. That said, the economy’s vital signs appear to be deteriorating. Combined rail traffic for the week ending June 1, 2019, for North America was down 3.8% Y/Y. For the first 22 weeks of 2019, rail traffic was down 1.8%. This does not bode well for Kansas City Southern and other railroads.
Full story: Seeking Alpha