Trump’s Vaccine Comments Boost Movie-Theater, Travel Stocks
The beaten-down shares of movie-theater companies, cruise operators and airlines got a boost late Friday after President Donald Trump and coronavirus expertsexpressed optimism that vaccines would soon be granted emergency use authorizations.
AMC Entertainment Holdings Inc. gained as much as 13% in postmarket trading, while Cinemark Holdings Inc. rose more than 6%. Delta Air Lines Inc., American Airlines Group Inc. and United Airlines Holdings Inc. all added at least 2%, while Carnival Corp., Royal Caribbean Cruises Ltd. and Norwegian Cruise Line Holdings Ltd. increased more than 1%.
Airlines, cruise operators and theater stocks have been among the worst performers this year after seeing business dry up with more people staying home. Travel-related companies make up a quarter of the 20 worst-performers on the S&P 500 Index.
Emergency use authorizations should be coming soon for vaccines such as the one being developed by Pfizer Inc., Trump and members of a team tasked with accelerating vaccine development said at a White House press conference. Even as daily infections in the U.S. reached anotherrecord and with an increasing number of states adopting more clampdown measures, Trump said his administrationwould not be “going to a lockdown.”
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