Monday, September 28, 2009
Rail Traffic Incrased In Third Quarter
The above chart is from Railfax and it shows that rail traffic increase in the third quarter. The reason this is important is simple: when an economy increases activity it has to ship more stuff from point A to point B. The increase in activity is a good overall sign, which explain why the above chart is so important.
The year over year chart shows a decline but a decline that is decreasing. Also note this is a great example of the shortcomings of year over year statistics at turning points. The first chart shows an increase in the 3rd quarter from 2nd quarter levels. This is a good indicator for the third quarter and adds yet another indicator that the economy is coming out of a recession.