Dow transports bounce despite broader market selloff, led by Avis Budget and Delta stock rallies

dow-transports-bounce-despite-broader-market-selloff,-led-by-avis-budget-and-delta-stock-rallies

The Dow Jones Transportation Average DJT, +0.39% bounced 97 points, or 0.7%, with 14 of 20 components gaining ground, to buck the selloff in the broader stock market. The rally comes after the Dow transports closed Friday at a six-month low, following a 13.4% plunge in eight days amid growing fears that rapidly deteriorating market conditions could lead to a freight recession. In comparison, the Dow Jones Industrial Average DJIA, -1.19% has slipped just 1.6% over the same eight days. Monday’s transport bounce comes while the Dow fell 225 points, or 0.7% and the S&P 500 SPX, -1.69% slid 1.2%. Pacing the Dow transports’ gainers, Avis Budget Group Inc.’s stock CAR, +4.85% surged $13.52, or 5.5%, to add about 82 points to the Dow transports’ price. Also, all six of the airline components traded higher, led by shares of Delta Air Lines Inc. DAL, +4.00%, which rose 4.4%. Meanwhile, the transports’ losers were led by shares of marine engines maker Kirby Corp. KEX, -2.24%, which fell 1.7%, and trucker J.B. Hunt Transport Services Inc. JBHT, -1.43%, which lost 1.1%.

Source: Marketwatch

Related Posts