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Highlight
- The S&P/ASX200 is lower today, dropping 15.40 points or 0.24% to 6,508.40.
- Investors are wary of reduced consumer spending given future rate hikes and inflation.
- Travel stocks like QAN, FLT, WEB seem to be getting affected by the market sentiment.
The ASX200 index marked a loss of 0.29% on 22 June 1:00 PM AEST. The index, after yesterday’s bounce-back, has turned south. Sectors on the index, are however, showing a mixed picture. 6 of 11 sectors are lower today along with the S&P/ASX 200 Index. Utilities is the best performing sector.
One of the top losers today is the consumer discretionary sector that lost 1.13% overall.
Inflation and interest rate hikes are a big concern globally. Economies are predicted to go into recession, consumers might resort to cutting down expenses. Even businesses in the travel sector might face challenges like cost spikes. As a result, investors seem negative on the consumer discretionary sector stocks as of now.
In this backdrop we have covered some recent stock price changes of Qantas Airways Limited (ASX:QAN), Flight Centre Travel Group Ltd (ASX:FLT) and Webjet Limited (ASX:WEB) from the travel stocks segment of the consumer discretionary sector.
Qantas Airways Limited (ASX:QAN)
Australia’s popular airline operator, Qantas Airways Limited’s, share price shed 1.098% today. In last five trading days QAN shares have lost 7.02%.
The airline operator has been in news for facing staff shortages and luggage losses. However, what appears to be gripping investor sentiments, is the rising cost of fuel for Qantas. Fuel prices have surged since the Russian invasion on Ukraine began. Even before this, the company was facing challenges due to Covid-19 closures and a nationwide ban on international travel. As a result, on a YTD basis QAN shares are down over 12%.
Flight Centre Travel Group Ltd (ASX:FLT)
Travel and tour services provider, Flight Centre Travel Group Ltd. Buzzed in red zone today. FLT share price dipped 2.410% and closed at AU$17.810 per share.
In last five days, FLT share price has gained 0.91%. In last one year, the stock has gained 18.26% on the ASX.
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Webjet Limited (ASX:WEB)
Another notable ASX-listed travel industry stock is, Webjet Limited. The company is a digital travel business providing online booking services.
Webjet shares closed 2.010% down at AU$5.360 apiece today. In last one month, WEB shares have shed 10.37%. However, the stock has gained 5.51% in past year.
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