Why Travel Stocks Were Falling Today
Shares of travel stocks, including Eldorado Resorts (NASDAQ: ERI), OneSpaWorld Holdings (NASDAQ: OSW), Tripadvisor (NASDAQ: TRIP), and Expedia (NASDAQ: EXPE), were falling today as the sector got swept up in the broader market sell-off.
Though there was no specific news out on these stocks today, markets were rattled as Amazon.com and Apple, two of the most valuable and powerful companies in the world, indicated in their earnings reports last night that the impact of the coronavirus may be greater than anticipated. Amazon said it expected to have just break-even profit in the second quarter as it plans to invest $4 billion in coronavirus-related costs in the period. Apple, meanwhile, declined to provide guidance for the first time since 2003, citing "a lack of visibility and certainty in the near term."
Meanwhile, President Donald Trump also threatened to slap a new round of tariffs on China as retaliation for the coronavirus, which could further destabilize the global economy at a vulnerable time.
Source Fool.com
