Why Cruise-Line Stocks Bounced Back on Tuesday
Cruise-line stocks continued their volatile run on Tuesday, but this time shares are bouncing higher. Carnival (NYSE: CCL) was up 14.9% early in the day and was up 6.7% at 2:55 p.m. EDT; Royal Caribbean Cruises (NYSE: RCL) jumped 17.1% and was later up 10.1%; Norwegian Cruise Line Holdings (NYSE: NCLH) was up as much as 14.3%, but by mid-afternoon was up just 3.2%.
The big reason cruise-line stocks are up today is that the market is up big. The S&P 500 is up 3% as I'm writing. And highly volatile ("high beta") stocks, like those of cruise lines, tend to exaggerate the market's moves overall.
Image source: Getty Images.
Source Fool.com
