Transportation Hits a New High for the Year, the Dollar Goes Haywire

What started off as another selloff for stocks, quickly flip-sided during the week as a wave of fundamental data helped to stimulate a higher market, causing the Dollar to plummet. The Transportation index led the way higher last week, climbing by 5.62% to close at its highest level of the year at 3974.5 points. Even though the week’s rally was capped on Friday, due to FedEx raising its earnings forecast for its latest quarter, citing international shipments and cost-cutting, the stock had only a minor impact on the intraday session, allowing the indices to close just off their highs of the week. The transportation index helped the S&P 500 climb higher, rallying 26.3 points or 2.6% to 1042.7 points.

From a comparison point of view when observing the following chart one can see that the transportation index outperformed all of the major sectors, driving sentiment higher.

http://www.dodjit.com/CmsItems/image...ortation/1.png

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