Dow Transports Slump on Profit Taking, Economic Worries
Transportation stocks are switching gears Wednesday. After leading the market in its recent run to records, the Dow Jones Transportation Average is falling around 0.7%, making it the biggest loser among the major averages.
Chalk it up to a combination of profit taking (the DJTA is up more than 6% YTD, more than double the gain in the S&P 500), and renewed questions about economic growth. 19 of the 20 members of the Dow Transports are down.
Keep in mind that five of these names – CSX (NYSE:CSX), Ryder System (NYSE:R), Delta Air Lines (NYSE:DAL), Southwest Airlines (NYSE:LUV), and Alaska Air (NYSE:ALK) - all hit record highs this week.
Dow Transports in Reverse