The $900-billion economic aid bill President Trump signed helped push stock markets to record highs as 2020 came to an end.
Travel stocks perked up, trading at what some investors saw as bargain prices ahead of a summer economic recovery they believe will restart pleasure travel.
In the new stimulus round, U.S. airlines will share $15 billion to bring back furloughed workers and resume service to cities that airlines cut off during the pandemic. American Airlines’ share price bumped up 2.6 percent to $16.06 on 28 December. Norwegian Cruise Line Holdings also shared in the good times, gaining 3.9 percent to $25.53.
In an additional sign that investors see a return to normality ahead, Zoom’s shares retreated 6.3 percent to $351.39.
TREND FORECAST: There will be an economic snap back in the spring and summer, thus pushing up the retail, hospitality, entertainment, travel, and restaurant sectors. But we forecast the 2021 spike will be short-lived.
The damage of the COVID War has devastated those sectors, and the job market will not rebound. Yes, unemployment numbers will decline as a segment of workers go back to jobs that were lost… but new jobs will not be created.
Moreover, wages and income levels will decline as more small businesses go bust and people take low paying jobs in an effort to avoid falling into poverty during the “Greatest Depression.”
