While Covid-19 variants might be shaking things up once more, it’s still summertime and people want to go vacationing. Travel data already shows a stark contrast from last year when social distancing cautiousness was at its peak.
“Things are not necessarily back to ‘normal,’ but stocks associated with travel and leisure have made back crucial ground since their precipitous lows about a year and a quarter ago,” a Direxion Investments The XChange article said. “However, travel & leisure stocks still seem to have considerable room to continue their recovery and price growth compared to before COVID.”
“For those who are traveling, health and safety concerns may still exist, but with 2,147,090 people passing through the U.S. Transportation Security Administration’s checkpoints on July 1st — a cut above 2019’s number of 2,088,760 and just short of triple 2020’s count of 764,761 — things seem to be looking up,” the article added.
The BlueStar® Travel and Vacation Index provides exposure to global commercial airlines, hotels and resorts, resort casinos, travel agencies, online travel booking sites, hotel REITs, cruise lines, theme parks, and ski resorts.
Commercial Activity Also Rising
Commercial activity is also on the move as more business sectors are re-opening. As such, more goods are being transported to and fro.
TPOR seeks daily investment results that are equal to 300 percent of the daily performance of the Dow Jones Transportation Average. The index measures the performance of large, well-known companies within the transportation industry.
One metric that has been on the rise the past year is the Freight Transportation Services Index (TSI). Despite a recent decline, the prevailing trend shows a move higher after an expected fall last year during the height of the pandemic.
“The Freight Transportation Services Index (TSI), which is based on the amount of freight carried by the for-hire transportation industry, fell 0.4% from May to June, the first decrease after 3 consecutive months of growth according to the U.S. Department of Transportation’s Bureau of Transportation Statistics (BTS),” an American Journal of Transportation article said. “From June 2020 to June 2021, the index rose 5.9%; that compares to a decline of 7.0% from June 2019 to June 2020 and a decline of 1.4% from June 2018 to June 2019.”
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