Airline Stocks Fly High! (TAM, UAUA, ALK, AMR)

The airline sector received a major boost today with the NYSE Arca Airline Index ARCA adding more than 3.58% to reach 41.05, within touching distance of its 52-week high. Shares of AMR Corporation AMR, UAL Corporation UAUA, Continental Airlines CAL, and Alaska Air Group ALK rallied in today’s trading. ADRs like TAM S.A TAM gained more than 30% to trade at $21.77, while Lan Airlines S.A. LFL rose more than 4% to trade at $28.35. The Latam Airlines Group, formed as a result of a stock-swap deal worth $11.5 billion on August 13 between Lan Airlines S.A and Tam S.A, was one of the reasons for the upturn in airline stock prices. Declining oil prices is another reason for this surge. Oil has lost 18 cents, or 0.3%, to $75.19. This is the lowest that oil has reached in more than a month. At noon EDT, AMR is up 0.14% to $6.91, UAUA is up 1.35% to $21.77, CAL is up 0.61% to $22.95, and ALK is up 2.11% to $52.19. Read more from Benzinga's Company news.