The Trucker Boom; They Are On the Road Again

The Ben Bernanke manipulated boom continues to expand throughout the economy, well beyond Silicon Valley, where it started. Transportation stocks and the transportation industry are also now clearly in a boom phase. Ed Yardeni reports in:

Truckers are on the road again too. Employment in transportation and warehousing has increased 88,000 over the past 12 months. Truck tonnage rose 6.5% y/y during January, the best gain in more than a year. 

The “Dow Theory” paradigm remains bullish as both the DJIT and S&P 500 Transportation Index are making new record highs. The latest earnings and valuation metrics for the S&P 500 Transportation sector show forward revenues and earnings are at record highs.