Why Airline Shares Are Higher Today
Positive news concerning a potential COVID-19 vaccine continues to flow in, and with it optimism is growing concerning the airlines. Spirit Airlines (NYSE: SAVE) gained as much as 7% in Wednesday midday trading, with shares of United Airlines Holdings (NASDAQ: UAL) and American Airlines Group (NASDAQ: AAL) up more than 5% apiece and shares of Delta Air Lines (NYSE: DAL) up 4.5%.
After more than six months in crisis mode, airlines and their investors are beginning to think seriously about the beginning of the end of the pandemic. The industry has seen losses mount as travel demand plummeted due to the virus, but with at least two vaccine candidates showing promise, it is possible conditions could begin to normalize by mid-2021.
Pfizer on Wednesday said its vaccine appears to be 95% effective, near the efficacy rate reported by Moderna for its candidate, and Pfizer said it intends to move soon to win approval to begin distribution.
Source Fool.com
