JetBlue Airways (NASDAQ: JBLU) narrowed its loss forecast thanks to strong holiday travel demand trends. Investors are breathing a sigh of relief, sending the beaten-down shares up 10% as of 10 a.m. ET Thursday.

JetBlue shares have lost about half of their value in the second half of 2023 due to investor fears that higher rates and a slowing economy will eat into travel demand. Airlines including JetBlue have enjoyed strong post-pandemic demand in recent years, but the focus of late has been on whether this historically cyclical industry is beginning to take a turn for the worse.

JetBlue in a regulatory filing said travel demand is holding up well. "Since late October, close-in bookings have outperformed expectations for both holiday peak and non-holiday travel periods," the company wrote. The weather has also cooperated, helping the airline post a 99.9% flight completion rate in November and 100% over the Thanksgiving peak period.

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Source Fool.com