October 30, 2020

Airline stocks drop after Trump ends stimulus talks

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  • Airline stocks dropped sharply on Tuesday following news that Trump is ending stimulus talks until after the election. 
  • Airlines were expected to be large beneficiaries of the next stimulus package. Speaker Pelosi urged airline executives on Friday to delay firings, saying relief was imminent. 
  • American Airlines dropped as much as 5% lower, United Airlines and Delta both fell 3.4%, and Southwest declined 2.4% during Tuesday trading.

Airline stocks dropped sharply on Tuesday after President Trump tweeted that he’s ending stimulus negotiations until after the election.

Airlines were expected to be a large beneficiary of the next stimulus package. Last Friday, House Speaker Nancy Pelosi urged airlines executives to delay job cuts, telling them that relief for airline workers was imminent. 

American Airlines dropped as much as 5%, United Airlines and Delta both fell 3.4%, and Southwest slid 2.4% during Tuesday trading. The S&P 500 declined 1.5%.

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