Airline shares rise as US TSA screening numbers increase

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US passenger airline traffic fell 80per cent in June

TSA said it had screened 831,789 people on Sunday, which was still down about 70per cent over the prior year when about 2.5 million people were screened.American Airlines Group shares jumped 8.2per cent in midday trading, while United Airlines shares rose 7.2per cent, Delta Air Lines was up 6.9per cent and Southwest Airlines rose 4.7per cent.

The largest 20 U.S. airlines carried 16.3 million passengers in June - an 80per cent decline over the same month last year - but nearly twice as many as May. The coronavirus pandemic has slashed U.S. airline passenger demand, but it has rebounded from historic lows in April, when just 3 million passengers traveled.

As the virus has accelerated over the last month, airline executives have warned that demand that had shown signs of recovering could stall again, threatening jobs. Between American Airlines and United Airlines, more than 60,000 frontline workers have received warnings that their jobs are on the line on Oct. 1.

 

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