Stock Market Today, Jan. 13: American Airlines Falls After Delta Outlook and Credit Card Rate Cap Concerns

American Airlines Group (NASDAQ:AAL), a major U.S. passenger and cargo carrier, closed Tuesday’s session at $15.35, down 4.06%. American Airlines Group IPO'd in 2005 and has fallen 20% since going public. Trading volume reached 82.2 million shares, about 47% above its three-month average of 56 million. Tuesday’s catalysts centered on Delta’s outlook, sector-wide weakness, and fresh concern that potential credit-card rate caps could pressure loyalty-program economics. The S&P 500 slipped 0.20% to 6,963, while the Nasdaq Composite eased 0.10% to finish at 23,710. Within the airline industry, peers Delta Air Lines and United Airlines fell 2.38% and 0.76%, respectively, as traders weighed Delta’s mixed quarter.American Airlines traded down in sympathy with Delta today after the latter reported mixed earnings, but ultimately dropped 2% on the day. One major concern for American Airlines arising from the earnings report was Delta CEO Ed Bastian highlighting the company's advantage of having a co-branded credit card with American Express and its more affluent customers. Thanks to this more affluent customer base for its credit card program, Bastian believes Delta may be better suited than its peers to weather President Trump's proposed 10% interest rate cap. These comments contributed to a decline in American Airlines' stock.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool