Boost for transport sector as president-elect Trump focuses on infrastructure

Transport stocks rose in the U.S after president-elect Donald Trump made it a top priority to "rebuild our infrastructure" in his acceptance speech.

The Dow Jones Transportation Average, a measure of 20 companies in the sector, rose over 0.8% yesterday after Trump said he would "rebuild our highways, bridges, tunnels, airports" to make "our infrastructure... second to none". The Dow Jones Transportation average had already rallied by 3.2% on Monday to their highest level in 2016, up 10.9% since the start of the year, seen as investors anticipating that either candidate would bring forward a fiscal stimulus and make rail road and transportation firms a sound place to put their money.

Senior Democrat House minority leader Nancy Pelosi welcomed the statement on investingin infrastructure and signalled a willingness to "work together to quickly pass a robus infrastructure jobs bill". Meanwhile, this side of the Atlantic, the Chancellor has signalled the need for additional investment in infrastructure and all eyes are on the Spending Review of the 23rd November.