Airline stocks hit hard as rising COVID-19 cases offsets new high in travel demand

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Shares of U.S.-based airlines took a hit Monday, following the lead of their Europe counterparts, amid growing concerns over a spike of COVID-19 cases around the world. The U.S. Global Jets ETF dropped 2.8% in afternoon trading, with all of its U.S.-based components losing ground. Germany on Monday joined the U.K. in imposing a two-week quarantine on those who return from Spain. The six airlines components of Dow Jones Transportation Average were the six biggest losers withing the index, with shares of American Airlines Group Inc. dropping 4.9%, United Airlines Holdings Inc. shedding 4.2%, Alaska Air Group Inc. sliding 3.3%, Delta Air Lines Inc. losing 3.2%, JetBlue Airways Corp. falling 3.0% and Southwest Airlines Co. declining 2.6%. Meanwhile, the number of travelers going to Transportation Security Administration (TSA) checkpoints rose to 862,949 on Sunday, the highest daily total since March 17. The Jets ETF has plunged 4.4% year to date, while the Dow transports has tacked on 0.7% and the Dow Jones Industrial Average has slipped 2.3%.
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