Air Travel Optimism Boosts Stocks for Asia Pacific Airlines

Qantas A380 taking off on the runway in Saxony, Dresden on August 21, 2020

Tino Plunert | images alliance | fake images

SINGAPORE – Asia-Pacific airline stocks moved in trading Tuesday after a series of announcements greatly boosted the outlook for international air travel.

Shares of Australia’s Qantas Airways rose 2.55%, while Air New Zealand shares soared around 6%.

Those shares rose when New Zealand Prime Minister Jacinda Ardern announced that the “travel bubble” between her country and Australia will begin on April 19.

Meanwhile, Singapore’s aviation regulator said that from May the country will begin accepting travelers using the International Air Transport Association (IATA) mobile travel pass for pre-departure checks. Singapore Airlines shares rose about 0.2% in trading on Tuesday.

“Having the trust of an aviation leader like Singapore in the IATA Travel Pass is very important,” said Willie Walsh, IATA CEO, in a statement.

“Ongoing testing sets us on track to make the IATA Travel Pass a critical tool for the industry restart by delivering verified travel health credentials to governments. And travelers can have complete confidence that their personal data is safe. and under his own control, “Walsh said. .

Elsewhere, Korean Air Lines shares were flat, while Japanese airline shares lagged the region as a whole. Japan Airlines fell 2.44% while ANA Holdings fell 2.19%.

Local media reported that Covid-19 quasi-emergency measures were implemented starting Monday in various prefectures of Japan in an effort to halt the resurgence of infections.

The air travel industry has been among the sectors most affected by the coronavirus pandemic, as authorities worldwide tightened border restrictions to slow the spread of the virus.


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