Because tax is a dirty word, the trucking industry is proposing a fuel user fee to pay for infrastructure improvements.
Class 8 truck orders were up 76% in February.
CSX is seeing benefits from its “precision railroading”:
- CSX’s new CEO indicated he didn’t need to apologize for current service levels – “What we do apologize for was the pace of change that the customer had to endure last summer when Hunter carpet-bombed the network and made dramatic structural changes overnight”
- CSX is closing yards and reducing its real estate footprint as it closes yards, etc. – so look for prime sites with a heritage in many cities
- Because of many idle locomotives and reduced infrastructure, they can cut annual capital expenditures to around $1.6 billion for the next few years
Oil prices continue to trade in the $58-65 range – closing Monday at $62.53.