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Fitch: Downshift in US Transportation activity reflects the slowing economy

8-Sep-2011 9:53 AM

Fitch Ratings released (07-Sep-2011) a report stating all signs in US transportation activity point to a slowing economy. Data tracked by Fitch as it monitors credit ratings for the public infrastructure facilities that support transportation activity in the US reflect lower levels of economic growth. Traffic on roads, freight indices and airport traffic all point to an economy that continues to move upward but at a declining rate, suggesting growth below expectations going forward. Data tracked by Fitch shows:

  • Transportation volumes are closely linked to economic activity as the transportation services and facilities that are needed to support the economy react to a slowdown;
  • Oil prices and other commodity price increases in the first half of 2011 underlie the slowdown in transportation;
  • Infrastructure ratings are not immediately affected as a result of the slowing economy. Fitch develops a "rating case" to determine these ratings. [more - original PR]