Aviation stocks like SpiceJet, Interglobe Aviation (IndiGo), and GMR Airports saw their share prices fall by up to 5% in Monday’s trading session. The fall in the aviation stocks came amid rising fuel costs, the US-Iran war and PM Modi’s appeal to citizens to rethink the growing preference for overseas weddings, holidays, and leisure travel.
IndiGo share price led the pack by falling over 5.03% to ₹4,296 apiece on NSE. This was followed by GMR Airports’ share price down over 3.25% and SpiceJet shares over 2% on Monday.
Why are aviation stocks falling today?
Speaking at a public event at Parade Ground in Hyderabad, PM Narendra Modi appealed to citizens to rethink the growing trend of overseas weddings, holidays, and leisure travel. He urged people to avoid foreign trips for at least a year in light of the ongoing global uncertainty.
Stressing the importance of national responsibility during difficult times, the Prime Minister encouraged citizens to focus on domestic travel and contribute to strengthening the local economy.
He further called on people to embrace a lifestyle guided by “national responsibility” to help the country tackle issues such as inflation, supply chain disruptions, and rising energy costs.
As part of his appeal, he asked Indians to cut back on overseas vacations and destination weddings abroad for at least a year, underscoring the importance of reducing pressure on the country’s foreign exchange reserves. He added that conserving foreign exchange during volatile global conditions is a patriotic step and also encouraged citizens to prefer locally manufactured products over imports whenever feasible.
More to come…
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.