Moody's Revises Outlook For North American Rail Industry

(Dow Jones) -- At last, some good news for railroads. Moody's Investors Service has revised its outlook for the North American rail industry on expectations that revenue growth will be flat to 2.5% higher over the next 12 to 18 months. Coal carloads are expected to be flat after falling 25% year to date through September due to the recent sharp rise in natural gas prices and a decrease of utility coal stockpiles, according to Moody's. Another record harvest has resulted in robust growth in grain shipments. That growth is expected to moderate but still continue in the mid-single digits.