Passengers board an American Airlines flight at Ronald Reagan Washington National Airport in Arlington, Virginia on April 11, 2021.
Andrew Caballero-Reynolds | AFP | Getty Images
Airline and other travel stocks fell Tuesday after U.S. authorities called for a break in using Johnson & Johnson’s Covid-19 vaccine due to rare reports of blood clotting.
The Food and Drug Administration urged states to stop using the single-dose vaccine after six people in the United States developed a rare bleeding disorder after receiving the shot. J&J said that “no clear causal link” was found between the blood clots and the vaccine and that it is working with regulators to assess the problem.
The recommendation comes just as airlines and other travel companies reported an improvement in bookings after coronavirus cases peaked earlier this year and more people were vaccinated.
Delta Air Lines and United Airlines stocks both fell more than 3% in morning trading. American Airlines shares were down about 5%. The Fort Worth-based airline estimated Tuesday that first quarter revenue was 62% lower than in the first quarter of 2019.
American expects a net loss of $ 2.7 billion to $ 2.8 billion for the quarter, excluding state wage support for the sector. The airline said its daily cash use averaged $ 27 million per day for the quarter, including $ 9 million per day in debt and severance payments, down from the previously estimated $ 30 million.
The cruise lines Carnival and Norwegian Cruise Line each gained more than 2%, while Marriott and Hilton both declined more than 1%.