Avondale Analyst Says Drop In Airline Stocks Isn't Indicative Of Change In Demand

Speaking exclusively to Benzinga, Avondale Partners Analyst Fred Lowrance said markets started off strong first thing Friday morning with some of the rates changes from around the world. “My entire screen started off green,” he said. Airline stocks like Delta Air Lines, Inc. DAL, United Continental Holdings Inc UAL and American Airlines Group Inc AAL all gaped up shortly after the open, but then started to fall. Lowrance explained oil prices have also jumped up a dollar, which means the airlines could be giving back these gains. He said the movement has nothing to do with an increase or decrease in demand. “For airlines, you realize one or two percent really isn't that big of a move for them,” according to Lowrance.