- The ASX 200 dropped over 1% amid broad-based selling.
- Travel stocks were hammered amid fresh COVID-19 curbs in Europe.
- Flight Centre Travel Group, Qantas Airways, Webjet were among top losers in the travel space.
The Australian share market witnessed sharp selling on Friday as investors feared that the resurgence of COVID-19 cases around the world could derail the pandemic recovery. Travel stocks which are yet to recover from the initial economic impact of the pandemic were among the worst hit as fresh COVID-19 curbs in Europe have created a gloomy outlook for the hospitality industry.
Travel companies such as Flight Centre Travel Group, Qantas Airways, Webjet were hammered today amid fresh concerns of a new delta variant. Travel stocks remained under pressure this week as a rapid resurgence of coronavirus cases around the world, particularly Europe, could hurt travel over next few months, especially during Christmas and New Year holidays.
Travel stocks suffer a broad-based sell-off on travel woes.
Flight Centre Travel Group (ASX:FLT)
Shares of Flight Centre, the country’s leading travel retailer and corporate travel manager, dropped as much as 7.8% to hit an intraday low of AU$17.08 during the session today. The share price of the ASX-listed travel business declined 11% in the last one month, while it gained 8.7% on a year-to-date (YTD) basis.
Shares of digital travel business Webjet fell 5.85% to touch a low of AU$5.31 apiece today. Shares of the online travel booking service provider declined as much as 14.5% in the past one month while it rose 4.5% since the beginning of this year.
Qantas Airways (ASX:QAN)
Shares of domestic carrier Qantas Airways fell 5.3% to AU$5.01 during the session amid increasing curbs in some parts of Europe, following a resurgence in COVID-19 cases. Australia’s largest airline by fleet size, Qantas’ shares rose around 8% over the six-month period, while it dropped 8.7% in the last one month.
Apollo Tourism & Leisure (ASX:ATL)
ASX-listed Apollo Tourism’s shares fell 3% to AU$0.60. Paring some of the early losses, ATL shares were trading at AU$0.61 per share at 2:30 PM AEDT.
Corporate Travel Management (ASX:CTD)
Corporate Travel, which operates as a travel management service provider to the corporate market, saw its shares tumbling as much as 5.2% to AU$21.76.
ASX-listed Serko traded marginally lower with the share price falling as much as 0.6% to AU$6.83 apiece. Serko operates as an integrated cloud-based expense management solution and corporate travel booking company.