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Airline stocks drop as 'near worst case' playing out, analyst says
MarketWatch ^ | 4/1/20 | Tomi Kilgore

Posted on 04/01/2020 5:56:06 AM PDT by Moonman62

Airline stocks were taking a dive in premarket trading Wednesday, as part of a broad stock market selloff in the wake of the White House's grim warning on the coronavirus pandemic. Analyst Joseph DeNardi at Stifel Nicolaus said the "near worst-case scenario" is playing out for airlines, with more stringent travel restrictions and quarantines being implemented are resulting in further demand weakness, and with concerns that COVID-19 will re-emerger later in the year. DeNardi expects airlines to suspend flying for a period this summer.

(Excerpt) Read more at marketwatch.com ...


TOPICS: Business/Economy; Government
KEYWORDS: airlines
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1 posted on 04/01/2020 5:56:06 AM PDT by Moonman62
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To: Moonman62

They’re going to eventually stop, along with many other things.


2 posted on 04/01/2020 5:57:58 AM PDT by chris37 (Coronavirus wasn't born in a bowl of bat soup.)
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To: Moonman62
Interesting link from 3 weeks ago, airlines mentioned...

Will Business Interruption Insurance Provide Coverage for Coronavirus Losses?

When POTUS gets a breather after the worst is over, insurance issues need to be sorted.

3 posted on 04/01/2020 5:59:47 AM PDT by mewzilla (Break out the mustard seeds.)
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To: Moonman62

Give it a month. I’m hoping to get a 737 with low miles via eBay. Gas should be pretty cheap, too. :D


4 posted on 04/01/2020 6:00:58 AM PDT by cuban leaf (The political war playing out in every country now: Globalists vs Nationalists)
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To: Moonman62

Has Fauci been doing any short-selling lately?
Inquiring minds want to know.


5 posted on 04/01/2020 6:02:04 AM PDT by Buckeye McFrog (Patrick Henry would have been an anti-vaxxer)
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To: chris37

When I look at total global airline traffic on FlightAware, I estimate it is already down two thirds from normal levels.


6 posted on 04/01/2020 6:02:30 AM PDT by Moonman62 (http://www.freerepublic.com/~moonman62/)
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To: Moonman62

Just one anecdotal story, my brother used to fly all over the world for his job. China, Thailand, Sweden, Italy, Japan, and then on vacations.

He doesn’t fly at all anymore. Working from home along with everyone else in his company.


7 posted on 04/01/2020 6:05:25 AM PDT by chris37 (Coronavirus wasn't born in a bowl of bat soup.)
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To: Moonman62

Why isn’t the market “sheltering in place”?

It would seem to alleviate the issue of manipulative trading.

We could teach the traders how to “invest” before they have to teach us how to farm.


8 posted on 04/01/2020 6:06:21 AM PDT by Empire_of_Liberty
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To: Moonman62

The Dems and the Fake News are high-fiving each other!

I think this may be Trump’s Achilles heel.


9 posted on 04/01/2020 6:13:27 AM PDT by Artcore (Trump 2020!)
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To: Artcore
The Dems and the Fake News are high-fiving each other! I think this may be Trump’s Achilles heel.

What heel is that genius? The airlines going through hard times? Jeez you doomers are all over the place and make no sense. Sit down dummy and let the adults comment.

10 posted on 04/01/2020 6:19:29 AM PDT by pburgh01 (Negan all the MSM)
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To: Moonman62

I have a vacation scheduled in Dallas in early May. Flight pair DTW/DAL. Southwest sent me a notice that I had to change schedules. Went to web page, made changes, Southwest credited me $82 for essentially the same flights. Price of tickets went from about $90 each to about $50.

But then....


11 posted on 04/01/2020 6:22:10 AM PDT by garyb (What if you can't trust the voice in your head?)
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To: Moonman62
concerns that COVID-19 will re-emerge later in the year

Oh, so we can look forward to going through all of this nonsense again, pretty much any time the political hacks decide they want to wreck the economy or prevent people from assembling... or for whatever reason the little dictators in state houses around the country feel like it. Awesome.

12 posted on 04/01/2020 6:22:36 AM PDT by Sicon
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To: chris37
For business trips, I typically drive to any location I can reach in 12 hours or less. For longer work-related trips where I’ll be staying somewhere for days or weeks, I’ve been known to extend this to 24 hours or more.

I started doing this simply because I despise the whole air travel business, and had several situations where I nearly missed critical appointments due to delays and cancellations.

13 posted on 04/01/2020 6:29:34 AM PDT by Alberta's Child (And somewhere in the darkness ... the gambler, he broke even.)
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To: Alberta's Child

I haven’t really flown too many times in my life. I’m a simple guy, and of course, I’m afraid of flying :D

But of my handful of flights, I never had a bad time or experience. Crowded flights, but still no troubles.

I suspect this Chinese WMD attack is going to have the effect of ending that industry, and likely a number of others.

I wouldn’t get on a plane if my life depended on it now. I don’t even want to go anywhere near the airport.


14 posted on 04/01/2020 6:34:36 AM PDT by chris37 (Coronavirus wasn't born in a bowl of bat soup.)
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To: Moonman62

Delta (DAL) down 50% since Jan. May have to jump in in about 2 weeks or so. When this is over it will be flying time big time.


15 posted on 04/01/2020 6:35:58 AM PDT by OSHA (What did I come in here for?)
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To: Moonman62

We all need to step back and take a deep breath. This is not the first time the world’s economy has taken a hit.

WWII. While no direct comparison there are some similarities.

The world’s economies all switched from consumer goods to military goods. There were shortages and there were rationing and there were millions of deaths.

It was brutal, difficult and harsh, but the world did not come to an end, civilization did not come to an end.

This pandemic will come to an end. Some businesses will fail, some will grow stronger and new businesses will be created.

Some business models that have been hanging on since the 1900 will finally die out (with some exceptions).

The internet and the digital age has been available for years now but businesses and governments have been reluctant to embrace it. Now they have no choice.

With the old business models failing, new business models will take over.

We have had the ability to hold business meetings without having to travel for years now. Perhaps this will become the new norm. Instead of sending an individual to a meeting with all the associated cost, meetings are held via the internet.

Working from home has been a possibility for years, perhaps more will be able to do so in the future.

Home schooling is also something that has been possible for years, maybe more will join the movement and teach their children at home.

I can not think of all the new ways of doing things but someone will, and that someone will get rich.

At the end of WWII Europe was destroyed. It had to be rebuilt.

In America, while spared actual physical destruction, there were still a lot of shortages. It took time but America came out of it better then she was when the war began.

The 1950s was the GOLDEN AGE for America.

At the end of this pandemic, Americans will return to work and we may just enter another GOLDEN AGE.


16 posted on 04/01/2020 6:39:00 AM PDT by CIB-173RDABN (I am not an expert in anything, and my opinion is just that, an opinion. I may be wrong.)
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To: Moonman62
It's even lower than that, many of those flights are cargo only, even on passenger aircraft, and the ones with passengers are not full.

Some major global airports are down to 2% of usual passenger traffic, others like Dubai are completely shutdown.
17 posted on 04/01/2020 6:43:27 AM PDT by battousai (Trump was wrong... I'm still not tired of Winning!)
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To: battousai

Think of all the carbon not going into the atmosphere.
Gonna be a COLD winter!

/s


18 posted on 04/01/2020 6:49:10 AM PDT by nascarnation
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To: Buckeye McFrog

Yeah. The global pandemic is his little plot to beef up his portfolio and make a killing shorting the market.

Asshat.


19 posted on 04/01/2020 6:56:05 AM PDT by Kozak (DIVERSITY+PROXIMITY=CONFLICT)
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To: OSHA

I am kicking myself. Thought DAL was a good buy earlier this week so I bought a thousand shares. I also purchased a thousand shares of CCL figuring that once this is all over and people are travelling again I’ll make some money. Should have waited as they aren’t at rock bottom yet.


20 posted on 04/01/2020 7:51:45 AM PDT by TermLimits4All (A Pandemic may result in bloodshed. Be prepared always.)
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