Airline stocks fall due to UK’s Spain travel quarantine

posted on 27th July 2020 by Eddie Saunders
Airline stocks fall due to UK's Spain travel quarantine

The FTSE 100 saw airline stocks decline today in the wake of Britain’s move to reimpose a travel quarantine on Spain.

Airlines have strongly criticized the government’s decision, which forces travellers to the UK from Spain to self-isolate for two weeks.

“Losses across European and US airlines highlight the growing fear that many airlines will only survive through massive share dilution,” Joshua Mahony, a senior market analyst at spreadbetter IG, said.

The government scrapped a travel corridor between the UK and Spain over the weekend, after the country reported 900 new Covid-19 cases for two days running last week despite Spain insisting it is a safe tourist destination even when facing a sharp rise in coronavirus infections since it started easing lockdown.

British Airways parent IAG, easyJet and Wizz Air were all trading lower, along with travel company TUI