Union Pacific is the best railroad right now. CSX is probably the worst right now, because they have a lot of coal. Buffett bought Burlington Northern, but that could be doing better.

Any railroad person will say that coal is the primary good that they transport. You are going to see utility companies switching from coal to natural gas, especially at these prices. The railroad stocks will probably go lower.

You want stocks that you are ready to buy on dips, and Union Pacific is one of them.

Fed Ex is another stock you want to buy. But it is a tough stock to get back into because it keeps going up. You need an exogenous event to get in. Earnings are going up, and we have P/E multiple expansion. That’s why this is a true bull market.