First of all, let me say that I'm a long term shareholder of CSX stock. I own many stocks and CSX is one of them. I only invest in stocks that pay a reasonably high rate of dividend and I have all the dividends reinvested in some type of 'dividend reinvestment program'. I'm not rich but quite comfortable.
Those points being made, I must say that I'm not at all concerned about a prolonged government shutdown or a government default on it's IOU's. While the pps of my investments will take an initial hit, the dividend payouts will continue to pay my way. I must say that I am neither a Democrat nor a Republican, but it is very clear that the government is spending and borrowing way too much for it's budget with no resolution in sight toward curbing the spending or deficit. 40% of the money the government spends is borrowed money, so now the national debt is at $17trillion. And make no mistake, this debt is being left to the next generation, our children/grandchildren. That's immoral. So, it may be time to support a prolonged government shutdown until they get their spending/borrowing house in order.
As to CSX's future, I was quite happy with this Quarterly Report. Despite continual shrinking 'coal shipments' CSX and it's management team managed to increase both it's revenue and profits. Management also gave a 'steady' outlook for 2014. But, as I said, I'm a long term investor in CSX and not too concerned about yearly fluctuations in the stock price. And I must say that I'm really looking past 2014 to 2015. The Panama Canal expansion project is due to be completed then, within a 16 and 18 month time frame. At the present time, no one really knows the full extent that the new Panamex Ships, coming through the canal, will increase CSX business. One thing for sure is that this 'expansion' event will not decrease CSX's business and it possibly may increase CSX's business/profit/dividends substantially. I'm looking forward to the future for CSX.
I will agree with you on CSX and its future, but I will admit that I made more profit over the years on another railroad, GWR. I expect to see more growth of industry in the southeast, which will expand diversified shipments of goods this way. However, with the widening of the Panama Canal, we will see more containers not going transcontinental, but short haul or truck from eastern ports.
What is really needed is for the Northeastern states to pass right-to-work laws and allow factory employees to kick out the unions, but that is wishful thinking.
The philosophy of the modern economist, that we build in a 2% inflation so that we can pay pay off bills in a few years with dollars of lesser value, contradicts my belief system.
Unclelarry, I'm puzzled that you would post, :What is really needed is for the Northeastern states to pass right-to-work laws and allow factory employees to kick out the unions, but that is wishful thinking."
From your previous posting history, I presumed that you are a retired 'union' railroad employee. And yet, here you are promoting 'right to work laws'. That doesn't sound like it's coming from a union man.
But I will say that I fully agree with your position on 'right to work laws'. All states should incorporate them in order to promote free trade and competition. The states whose economies are growing at the fastest rates all have right to work laws on their books.