Why Cruise Stocks Are Under Water Today
Shares in cruise line stocks are off by more than 8% today after more than 80,000 new COVID-19 cases on Friday marked a daily record in the U.S. and new restriction measures were being reimplemented as cases also surge in parts of Europe.
As of 11:30 a.m. EDT, shares of Carnival (NYSE: CCL) (NYSE: CUK) and Norwegian Cruise Line Holdings (NYSE: NCLH) are both down more than 8%, and Royal Caribbean (NYSE: RCL) is down 10%.
Cruise operators have been planning to restart operations out of the U.S. after the Centers of Disease Control and Prevention (CDC) extended its no-sail order through Oct. 31, 2020. But as that deadline approaches, a surge in U.S. COVID-19 cases has the seven-day average of new cases at record highs, which may affect recovery plans of travel industries such as airlines and cruise operators.
Source Fool.com
