Indian Hotels Co. Ltd surged 8%, EIH 5.52%, TajGVK Hotels and Resorts 2%, Chalet Hotels 6%, Mahindra Holidays 4%, Wonderla Holidays 10%, Advani Hotels and Resorts 4%
Meanwhile, among airlines, InterGlobe Aviation Ltd' sstock rose 4% and while Spicejet was up 3%.
Mumbai: Shares of travel-related stocks surged on Tuesday as covid vaccine hopes lifted investor sentiment amid rising cases. Gains in airlines, resorts and hotels advanced as investors assumed that a vaccine may soon return economic life back to normal all over the world.
Among hotel stocks, Indian Hotels Co. Ltd surged 8%, EIH 5.52%, TajGVK Hotels and Resorts 2%, Chalet Hotels 6%, Mahindra Holidays 4%, Wonderla Holidays 10%, Advani Hotels & Resorts 4%.
Among Aviation stocks, InterGlobe Aviation Ltd's shares rose 4% and Spicejet was up 3%. Among multiplex stocks, PVR climbed 7% and Inox Leisure was up 3.77%.
The covid vaccine being developed by Pfizer Inc and BioNTech SE prevented over 90% or infections, according to multiple news reports.
Pfizer Inc said its covid-19 vaccine, developed with German partner BioNTech SE, was more than 90% effective in preventing infection, marking the first successful results from a large-scale clinical trial. The vaccine news sparked renewed optimism in equities around the world.
The Indian aviation industry has witnessed continued recovery in domestic passenger traffic in October, with a sequential growth of 33% to 52 lakh passengers, according to Icra. The capacity deployment in October 2020 at 52% is a significant increase over the 33% capacity deployed in August and 46% capacity deployed in September. However, domestic passenger traffic declined by 58%, year-on-year.
The ministry of civil aviation permitted increasing capacity to 45% with effect from 27 June; post the initial recommencement of operations of the scheduled domestic flights with effect from 25 May. It further permitted increasing the capacity to 60% with effect from September. This apart, through a circular dated 27 August 2020, the ministry has also amended certain provisions, like allowing airlines to provide meals on board, serve pre-packed snacks/meals/ pre-packed beverages, and allowing in-flight entertainment, however with riders.