October 1, 2018 / 6:09 PM / 7 months ago

BUZZ-Railroad stocks rise, boosted by new NAFTA deal

** Shares of railroad operators rise after concerns around higher tariffs receded as the United States and Canada forged a last-gasp deal on Sunday to salvage NAFTA as a trilateral pact with Mexico

** Shares of CSX Corp up 1.4 pct, Norfolk Southern Corp 2.6 pct, Union Pacific 1 pct, and Kansas City Southern 2.7 percent

** New United States-Mexico-Canada Agreement avoids tariffs but will make it harder for global auto makers to build cars cheaply in Mexico and is aimed at bringing more jobs into the United States

** Shares of Canadian Pacific Railway and Canadian National Railway also gain between 1-3 pct; Shares of trucking company Werner Enterprises also rise 0.8 pct

** Deal to allow for significant growth in tariff-free automotive exports from Canada above current production levels of about 2 mln units, safeguarding Canadian plants

** In a joint statement, Canada and the U.S. said deal would “result in freer markets, fairer trade and robust economic growth in our region”

** YTD stocks up: CSX ~34 pct, NSC ~24 pct, UNP ~21 pct, KSU ~7 pct vs the broader 8 pct gain in the Dow Jones Transport Average index (Reporting by Sanjana Shivdas in Bengaluru)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below