The company said bookings had actually declined slightly since its last update, “reflecting customers’ choice to defer their reservations to future seasons due to lack of clarity provided by governments on lifting travel restrictions.” . Shares fell more than 2% in Frankfurt.
“We continue to have constructive discussions with the [Centers for Disease Control and Prevention] but still have many questions that remain unanswered, ”said Christine Duffy, president of Carnival Cruise Line.
Overview: summer 2021 will not be a total wash. But it won’t be quite normal either. Does this mean that investors are a little ahead of themselves?
Shares of TUI, which reported a whopping loss of around $ 1.8 billion for the first half of its fiscal year, are still up 48% in 2021. Carnival shares have climbed more than 19% , while Live Nation is 11.5% higher. The S&P 500 climbed 10.5%.
Investors can look further into the future. Live Nation said its concert pipeline was up double-digit in 2022 from 2019. Carnival also reported that cruise bookings were up from pre-pandemic levels in 2022 “despite a low of advertising or marketing “.
This is great news and a sign that the economic recovery from a historic shock will only gain momentum in the months to come. But it underscores the dilemma Wall Street faces.
In this environment, investors may be inclined to look to stocks which may be undervalued and which could benefit from the rally. But it’s increasingly clear that this requires looking beyond an uncertain 2021 and into 2022.
Demand for gasoline rises after pipeline attack
As of midnight (ET) Wednesday, 16% of gas stations in North Carolina and 10.4% in Georgia had no gasoline, according to outage figures reported by GasBuddy, an app that tracks price and demand. fuel. That represented an increase of 14.7% in North Carolina and 9.4% in Georgia just two hours earlier.
Increasing blackouts are also being reported in Virginia, South Carolina and Florida.
“Panic buying” is “running the stations in the region dry,” Patrick De Haan, head of petroleum analysis at GasBuddy, told CNN Business.
He warned that the “irrational behavior” could prolong supply problems for weeks.
US Energy Secretary Jennifer Granholm has pleaded with Americans not to build up gas as the pipeline attempts to resume operations.
“Let me stress that there was no reason to say, hoarding toilet paper at the start of the pandemic, there should be no reason to stockpile gasoline,” Granholm said at the point. Tuesday’s press release at the White House, adding that the pipeline “should be substantially operational by the end of this week and over the weekend.”
Watch this space: The episode highlighted the growing threat cybercriminals pose to the world’s largest businesses and critical infrastructure, an issue that experts say requires urgent attention.
“What will stop this are much higher levels of [cyber]security, “said Peter Yapp, former deputy director of the UK’s National Cyber Security Center.” Instead of investing money to pay people after the event, we should invest money before the event and ensure that the hatches are closed. “
Tesla’s problems in China could hamper its action
The latest: Tesla sold fewer than 26,000 cars in China in April, down 27% from March, according to figures released by the China Passenger Car Association. The drop came as Chinese electric vehicle makers such as Nio, Xpeng and Li Auto all reported improving domestic sales.
“Its April sales were expected to decline sequentially, but not to this extent,” said Dan Ives, technology analyst at Wedbush Securities. “China is a mainstay in the Tesla Bull story. Sales figures show that all of April’s problems have had an impact.”
Remember: Tesla was the target of a protest at China’s largest auto show in Shanghai last month by owners who complained about issues with their cars. Five Chinese regulatory agencies are also questioning the quality of its Model 3 manufactured in Shanghai.
It has also been reported that the Chinese military has banned Tesla vehicles from entering its compounds, expressing fears that the on-board cameras could be used for espionage – a charge CEO Elon Musk has denied.
In this tense environment, Reuters reported on Tuesday that Tesla had halted plans to purchase land to expand its Shanghai plant into a global export hub due to uncertainty surrounding trade tensions between the United States and the United States. China. Tesla did not respond to a request for comment on its April sales in China or plans in Shanghai.
Investor insight: Investors aren’t panicking, but they are watching developments closely. Tesla shares fell nearly 2% on Tuesday and are back in trading before market on Wednesday.
Also today: The latest U.S. Consumer Price Index, a key measure of inflation, is released at 8:30 a.m. ET.
Coming tomorrow: another look at inflation from the producer price index.