Aviation stocks rise as regular intl flights to resume, but crude a concern

Airlines currently face a challenging time ahead on account of record high ATF prices, which are likely to increase further on the back of Russia-Ukraine conflict, says an analyst

Shares of airline companies InterGlobe Aviation – parent company of the low-cost airline IndiGo, and SpiceJet gained up to 8 per cent on the BSE in Wednesday’s intra-day trade after the government announced resumption of international flights from March 27, 2022. The move is expected to boost international capacity and will help soften airfares, which have been soaring due to increased demand and rise in crude oil prices.

Among the individual stocks, IndiGo surged 8 per cent to Rs 1,722 and SpiceJet 7 per cent to Rs 60.75 in intra-day trade. In comparison, the S&P BSE Sensex was up 0.73