Travel stocks rise despite the chaos

FXOpen

Anyone who has either spent any time at an airport in Europe recently, or seen the pictures in the tabloid press over the past few weeks will have seen the display of chaos with regard to traveling to and from different countries by air.

There are scenes showing mountains of suitcases in arrivals halls which have not been loaded onto long-departed aircraft, passengers waiting for hours, and mass cancellations of flights by several airlines.

Renewing passports for many people in Europe and the United Kingdom has become a long, drawn out affair and the overall it would appear that the scenes displayed, along with many personal experiences, would serve as a deterrent.

Interestingly, despite the continuing flight cancelations which run into the hundreds, and ensuing disorder, some passenger-carrying travel companies are actually doing well.

easyJet stock is up this morning, and is trading at 446.50 per share on the London Stock Exchange, which is an increase of 0.61 points today, and an increase 31.51 points over the past five days.

Perhaps even more interestingly, the cruise liners are back, and three cruise companies are among the biggest stock movers this week.

Those companies are NCLH Norwegian Cruise Line Holdings, which rose by a remarkable 10.12% in one day, Carnival Corporation which rose 9.71% on the same day, and Royal Caribbean Cruises which rose 6.09% in the same day.

These are companies which suffered tremendously during the years 2020 and 2021 as government-imposed lockdowns and travel bans saw the entire cruise ship industry brought ashore.

There is no concrete news which would indicate the reason for the sudden interest in the stock of cruise ship companies, however maybe people are beginning to take to the seas instead of the skies to avoid cancellations and airport chaos.

Even if that is the case, that would not explain easyJet's buoyant share price.

As it stands, over 5,000 flights have been canceled from Heathrow Airport alone, and easyJet has cut its summer schedule.

Without doubt, the travel and transport stocks are interesting at the moment, as this has become a volatile market.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Stay ahead of the market!

Subscribe now to our mailing list and receive the latest market news and insights delivered directly to your inbox.

forex

Forex Trading with FXOpen

Forex Trading with FXOpen

Experience ECN technology for deep liquidity and light-speed trade execution

  • Access over 50 markets
  • Trade with spreads from 0.0 pips
  • Take advantage of commissions from $1.50/lot
Learn more

Latest articles

Commodities

Brent Crude Oil Analysis: Bulls Hold the Line at Key Support

The XBR/USD chart reveals that Brent crude oil is trading near its lowest levels of the year.

Several factors are pressuring oil prices:
→ China's uncertain demand outlook: As the world's largest crude oil importer, any signs of weakening demand

Shares

Netflix (NFLX) Stock Hits Another All-Time High

The daily chart for Netflix (NFLX) shows that its price has risen by more than 10% since the start of November, setting a series of new all-time highs. Today, Netflix's stock price is trading above $830.

The bullish momentum is

Shares

Alibaba (BABA) Shares Drop Ahead of Earnings Report

Tomorrow, on 15 November, Alibaba (BABA) will release its third-quarter 2024 earnings report. Analysts forecast a drop in earnings per share to $2.11 from $2.26 in the previous quarter.

Ahead of the report, Alibaba's share price has shown

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.