Airline Stocks Stay Grounded
The morning, the major stock indexes are surging higher. The Dow Jones Industrial Average is trading higher by 120.00 points and most major sectors in the market are participating in the rally. The airline sector looks to be lagging the major stock indexes this morning. The cause for the weak action in the airline sector looks to be due to the bounce in oil. This morning, WTI oil is trading higher by $1.22 to $91.83 a barrel. When oil is higher the airline stocks seem to struggle.
Some leading airline stocks that are trading lower this morning include Delta Air Lines Inc.(NYSE:DAL), AMR Corp.(NYSE:AMR), United Continental Holdings Inc.(NYSE:UAL), and U.S. Airways Group Inc.(NYSE:LCC). Should oil pullback or retreat the airline stocks will likely catch a bounce. Until that occurs we should not expect much out of this sector.