05 Apr Air Travel Demand Showing Robust Rebound
In this week’s Rigzone market commentary, Validere’s Mark Le Dain sat down with Matthew V. Veazey at Rigzone to discuss the recovery for commercial airlines alongside Advisors: Jon Donnel, Barani Krishnan, and Tom Seng. Keep reading for details.
The number one driver of crude prices continues to be COVID. With cases increasing for the sixth week in a row, the re-opening plan in Europe and the United States is being questioned.
Barani Krishnan added that it looks like most of the countries in OPEC are pushing for a one-month extension for the production cuts.
Tom Seng mentioned that the Suez Canal Crisis’s initial reaction was bullish due to the interruption in crude supply. However, the spread of the COVID-19 variants in Europe is forcing lockdowns again; these demand concerns offset the interruption in supply.
Mark Le Dain pointed out that United Airlines’ domestic leisure demand has almost recovered as for marketing surprises. A significant shift from a few weeks ago when airlines were viewing travel recovery skeptically. To read more, click here.