2021 Midyear Outlook: Navigating through the recovery
Listen in as we discuss our outlook on the US recovery and the Federal Reserve’s new framework, including its impact on inflation, interest rates and growth.
U.S. air travel is at a post-pandemic high. Is a summertime recovery on the horizon?
The number of daily travelers is likely to increase as the number of vaccinated individuals rises. Recent Bank of America credit-card data shows seniors, among the first to have access to vaccines, are booking flights at three times the rate of millennials. We believe there is a significant amount of pent-up demand for leisure travel as we move into the summer vacation season – and the market has noticed. Southwest Airlines, which focuses more on leisure travel, is down a mere 7% from its all-time high. Airlines oriented more towards business travel are lagging in their post-pandemic recovery.
Source: TSA, Bloomberg, Ivy Investments. Dates shown are January 1, 2019 through March 14, 2021. This chart is being provided as a general source of information for education purposes only, and is not intended as a recommendation to purchase, sell or hold any specific security or to engage in any investment strategy.