Log in
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 

MarketScreener Homepage  >  Indexes  >  USA  >  S&P 500    SP500

S&P 500

News SummaryAll newsNews of the components ofMarketScreener Strategies

Travel Stocks Hammered as Coronavirus Spreads Globally -- 3rd Update

share with twitter share with LinkedIn share with facebook
share via e-mail
02/24/2020 | 04:58pm EDT

By Chitra Somayaji and Anna Hirtenstein

Shares of airlines and travel companies around the world plunged Monday, led by cruise-line Carnival Corp. and easyJet PLC, on speculation that authorities may crack down on movement after the biggest outbreak of coronavirus outside Asia emerged in Italy.

Carnival, which operates 10 cruise brands, was the biggest loser in the S&P 500, dropping 9.5%. Norwegian Cruise Line Holdings Ltd. declined 9.4%, Royal Caribbean Cruises Ltd. fell 9% and American Airlines Group Inc. was down 8.6%.

In Europe, easyJet shares plummeted 16.9%, their biggest drop since the U.K. voted to leave the EU in June 2016. The decline made the U.K. airline the worst performer in the pan-continental Stoxx Europe 600 index. Ryanair slid 13.5%, while Air France tumbled 8.7% and Deutsche Lufthansa lost 8.8%.

The declines came amid a broader selloff in global markets, with oil prices and stocks around the world retreating sharply as new pockets of the coronavirus infection came to light in South Korea, Italy and Iran.

That has sharpened anxieties about the global economic impact of the outbreak, which already shows signs of curtailing manufacturing and consumption in China, the world's second-biggest economy.

"The coronavirus numbers increasing so much in Italy and in the Middle East has given concerns that maybe this will take much more time to contain than first expected," said Henrik Drusebjerg, chief strategist at Danske Bank Wealth Management.

"Investors now fear that this is not just a Q1 thing, it could easily also be in Q2 and Q3 and the overall growth impact will be much more severe than first thought. This hits companies with the most global exposure, such as airlines and travel."

The pace of the coronavirus spread was previously thought to be slowing, but a change in the way the disease is diagnosed resulted in a sharp increase in cases. Roughly 200 people have been infected by the virus in Italy, which reported a sixth death from the pathogen on Monday, in a crisis that is likely to test Europe's open borders and easy travel in coming weeks. Authorities imposed quarantines and other restrictions in Italy's economic heartland, and officials in other regions are banning or restricting activities in an attempt to limit new infections.

"Italy's lockdown, as the country tries to control the worst outbreak of the virus in Europe, has caused investors to panic about how business and society will be affected," analysts at AJ Bell said in a note. The drop in travel stocks suggests that "investors are fearful that consumers and business people may lose their appetite to travel."

Write to Anna Hirtenstein at anna.hirtenstein@wsj.com


Stocks mentioned in the article
ChangeLast1st jan.
AIR FRANCE-KLM 6.10% 5.098 Real-time Quote.-51.58%
AMERICAN AIRLINES GROUP INC. -0.49% 12.19 Delayed Quote.-57.29%
CARNIVAL CORPORATION & PLC 2.89% 13.17 Delayed Quote.-74.82%
CARNIVAL PLC 7.94% 981.4 Delayed Quote.-75.05%
DJ INDUSTRIAL -1.84% 21917.16 Delayed Quote.-24.18%
EASYJET PLC 3.44% 571 Delayed Quote.-61.25%
NASDAQ 100 -0.96% 7813.498914 Delayed Quote.-13.11%
NASDAQ COMP. -0.95% 7700.09798 Delayed Quote.-16.39%
NORWEGIAN CRUISE LINE HOLDINGS LTD. 2.62% 10.96 Delayed Quote.-81.72%
ROYAL CARIBBEAN CRUISES LTD 8.06% 32.17 Delayed Quote.-77.70%
RYANAIR HOLDINGS PLC 1.05% 9.208 Delayed Quote.-36.83%
S&P 500 -1.60% 2584.59 Delayed Quote.-21.34%
share with twitter share with LinkedIn share with facebook
share via e-mail
Latest news on S&P 500
05:44pCopper's Terrible Quarter Could Just Be the Start -- Update
05:02pWALL STREET STOCK EXCHANGE : Stocks Suffer Worst Quarter Since 2008
04:43pStocks fall, close out biggest quarterly drop since 2008
04:42pStocks fall, close out biggest quarterly drop since 2008
04:41pStocks fall, close out biggest quarterly drop since 2008
04:40pWALL STREET STOCK EXCHANGE : Dow sinks, virus pushes it to sharpest quarterly pl..
04:19pDow Extends Losses on Rough Quarter's Last Day
03:46pDow Extends Losses on Rough Quarter's Last Day
01:48pWALL STREET STOCK EXCHANGE : Stocks on Track for Worst Quarter Since 2008
12:38pU.S. consumer confidence approaches three-year low
More news
Chart S&P 500
Duration : Period :
S&P 500 Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends S&P 500
Short TermMid-TermLong Term
Top / Flop S&P 500
NOBLE ENERGY, INC. 6.04 Delayed Quote.13.75%
CIMAREX ENERGY CO. 16.83 Delayed Quote.13.26%
DIAMONDBACK ENERGY, INC. 26.2 Delayed Quote.11.06%
ONEOK, INC.. 21.81 Delayed Quote.8.83%
DEVON ENERGY CORPORATION 6.91 Delayed Quote.8.82%
CBRE GROUP, INC. 37.71 Delayed Quote.-8.09%
MACY'S 4.91 Delayed Quote.-8.57%
KOHL'S CORPORATION 14.59 Delayed Quote.-8.98%
VF CORPORATION 54.08 Delayed Quote.-9.49%
DXC TECHNOLOGY COMPANY 13.05 Delayed Quote.-9.63%
Heatmap :