US airline and cruise stocks climb as crude oil plunges
XLI•XLI•XLI•XLI•US airline and cruise stocks rose as crude oil prices fell more than 6% on signs of progress in talks to end the US-Israeli war with Iran. Allegiant Air gained 6.6%, while Carnival rose 3.4%.
Shares of US airlines and cruise operators climbed as oil prices slumped more than 6%. Allegiant Air rose 6.6%, Frontier Airlines gained 6.3% and JetBlue Airways advanced 5.8%. United Airlines gained 4.2%; American Airlines, Alaska Air Group and Southwest Airlines rose between 3.1% and 3.7%.
Carnival rose 3.4%, Royal Caribbean Group gained 2.9%, Norwegian Cruise Line Holdings added 2.1% and Lindblad Expeditions Holdings climbed 1.6%. Fuel is a major operating expense for airlines and cruise operators.
Oil prices fell on signs of progress in talks to end the US-Israeli war with Iran. Iranian President Masoud Pezeshkian said Supreme Leader Ayatollah Mojtaba Khamenei had granted the government certain authorities for peace talks. The S&P Composite 1500 passenger airlines index was up about 5% year to date, compared with an 11.4% gain for the S&P 500.
