Tanker car demand in railroad industry a concern

• Demand on railroads to transport crude oil on long trains is on the decline as an oversupply of tank cars and lower production in the energy industry both play a factor.
• Data highlighted by Reuters suggests lease rates for oil rail cars declined to $1,300 near the end of last month after being as high as $2,450 close to a year ago.
• The number of long trains specializing in crude that are sidelined due to inactivity has increased, according to market watchers.
• Railroad stocks: UNP, NSC, CSX, CNI, ARII, GBX, CP, KSU, CNI, WAB, TRN.