Airlines, cruise operators gain as oil prices slide
JETS•Oil slide eases fuel-cost pressure
Oil prices fell after U.S. President Donald Trump held off a fresh attack on Iran as he sought a quick deal that would halt Tehran's nuclear ambitions and reopen the Strait of Hormuz.
Fuel costs are one of the largest operating expenses for airlines and cruise operators as oil is the primary energy source for aircraft and ships.
Airline index outperforms year to date
S&P Composite 1500 passenger airlines index .SPCOMAIR up 14% YTD vs 9.4% gain in the S&P 500 .SPX.
Airlines and cruise operators rise in premarket
Shares of major U.S. airlines and cruise operators gain premarket as crude prices fall over 5%.
American Airlines AAL.O, United Airlines UAL.O, Delta Air Lines DAL.N, Southwest Airlines LUV.N gain between 1.5% and 2%.
Norwegian Cruise Line Holdings NCLH.N adds 2.1%, Royal Caribbean RCL.N gains 1.1%, Carnival Corp CCL.N advances 1.7%.
