Today’s move is indicative of a few announcements that suggest cruises could resume sooner than expected. For a cruise line industry that has been absolutely hammered by the pandemic, this is welcome information.
Today’s price action for cruise stocks is also in sharp contrast to recent moves in this sector. Increasing bearishness has crept into these three names of late, amid concerns that the timeline for the reopening of the industry could be delayed. Previous concerns around the U.S. public health emergency being extended led to speculators selling off cruise stocks, as they saw a restart before the Nov. 1 Conditional Sail Order deadline unlikely.
How times have changed.
Let’s dive into today’s announcement and what it means for investors in these stocks.
Two Announcements Lift Cruise Stocks
Today, the U.S. Senate announced plans to allow for Alaskan cruises once again. Due to a Canadian cruise ban currently in place, cruise ships are not allowed to dock at Canadian ports. Due to long-standing regulations requiring a foreign stop when traveling.
