Railroads are on a winning streak, with major Class 1 carriers posting stronger-than-expected Q2 earnings and boosting annual forecasts thanks to surging intermodal shipping. A key development: Canadian National Railway has dropped its opposition to the Norfolk Southern-Union Pacific merger, securing two major deals—one for a faster Mexico route and another unlocking Kansas City access. While intermodal thrives due to trucking shifts from high fuel costs, coal volumes vary by railroad. Both NS and UP are preparing regulatory filings and CEO appearances at an industry symposium, as new industrial expansions signal growing demand—and a potential rail comeback against trucking.
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