Travel Stocks Retreat After Terror Alert

By TransportationFOXBusiness

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Travel stocks retreated on Tuesday after the U.S. State Department advised Americans of possible terrorist threats across the globe.

United Continental (NYSE:UAL), American Airlines (NASDAQ:AAL), Delta Air Lines (NYSE:DAL) and Southwest Airlines (NYSE:LUV) were all down between 2.5% and 3.1% at the close of trading.

Hotel chains such as Marriott International (NASDAQ:MAR) and cruise operators Royal Caribbean Cruises (NYSE:RCL), Carnival (NYSE:CCL) and Norwegian Cruise Line (NASDAQ:NCLH) also took a hit. Royal Caribbean led the way with a 3.1% drop.

The selloff came on the heels of a worldwide travel alert issued by the State Department, which cited “possible risks of travel due to increased terrorist threats.” According to the alert, “authorities believe the likelihood of terror attacks will continue as members of [ISIS] return from Syria and Iraq.”

Officials said Americans should exercise vigilance when traveling overseas, especially during the holiday season.

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