Why Cruise Line Stocks and AMC Entertainment Were Climbing Today
Shares of AMC Entertainment (NYSE: AMC), Norwegian Cruise Line (NYSE: NCLH), Carnival Cruise Line (NYSE: CCL) (NYSE: CUK), and Royal Caribbean Cruise Line (NYSE: RCL) finished higher today as they were among several "recovery stocks" to post significant gains today.
Though there was no company-specific news out on these stocks, a number of factors seemed to be contributing to their gains. First, investors were hopeful that the results of this week's Federal Open Market Committee meeting, which were presented this afternoon, would help spur Congress to pass another round of stimulus and reassure investors that the central bank would continue to do what it could to shore up markets, helping these struggling companies maintain borrowing capacity. The rising tide in stocks following the market's assumption that a divided government will form -- with Joe Biden winning the presidency but Republicans keeping the Senate -- also may have helped this sector by boosting overall sentiment for stocks.
Finally, hopes that a COVID-19 vaccine would be approved by the end of the year also seemed to be lifting these stocks, as AstraZeneca said its vaccine could be ready for large-scale distribution by December.
Source Fool.com
