Why Airline Shares Are Falling Today

United Airlines Holdings (NASDAQ: UAL) is seeing new bookings decline as COVID-19 cases spike, and that's putting pressure on airline stocks on Tuesday.

Shares of United and American Airlines Group (NASDAQ: AAL) each traded down 5% as of noon EDT, while shares of Spirit Airlines (NYSE: SAVE) are down 4%. A number of other airline stocks, including Delta Air Lines (NYSE: DAL), Southwest Airlines (NYSE: LUV), Alaska Air Group (NYSE: ALK), and JetBlue Airways (NASDAQ: JBLU), were all down more than 2%.

Airline stocks were hit hard by the initial wave of the coronavirus pandemic, with travel demand seemingly bottoming out in late March/early April. We've seen a resurgence in demand in the months since, which has caused United and other airlines to add flights heading into late summer.

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Source Fool.com