(The Associated Press circulated the following on January 8, 2010.)
DALLAS — Freight railroad stocks mostly rose Friday after a trade group report suggested more consumer goods are being switched to rail for part of their trip from factory to store.
The Association of American Railroads on Thursday said that during the holiday week ended Jan. 2, freight rail car loadings continued to lag, down 1.5 percent from a year earlier and 17.9 percent from the same week in 2007. But the railroad group said intermodal shipments — those requiring two types of transportation, such as rail and truck — were up 1.8 percent from last year.
Analyst Lee A. Klaskow of Longbow Research said he the railroad industry could be attractive to investors because it will benefit from a cyclical rebound in the North American economy.
The broader market hovered in a narrow range Friday after the Labor Department reported that employers cut 85,000 jobs last month, more than analysts had expected. By afternoon, the Dow Jones industrial average was down 25 points to 10,582.
Oil prices edged higher, with benchmark crude gaining 47 cents to $83.13 a barrel on the New York Mercantile Exchange. But energy experts wondered whether prices could stay that high given the weak economy.
In afternoon trading, shares of Union Pacific Corp. shares rose $2.25, or 3.4 percent, to $68.06. CSX Corp. rose $2.47, or 4.9 percent, to $52.43. Canadian Pacific Railway Ltd. gained $1.19, or 2.2 percent, to $55.27. Canadian National Railway Co. added $1.85, or 3.4 percent, to $56.75.
Norfolk Southern Corp. shares rose $1.80, or 3.4 percent, to $54.35. Kansas City Southern gained $1.45, or 4.5 percent, to $33.86. Burlington Northern Santa Fe Corp. added 15 cents to $98.95.