Shares in European airlines, hotels, and travel groups are plummeting on Friday after a devastating terrorist attack in the southern French city of Nice on Thursday night.
At least 84 people were killed in the city when an attacker drove a lorry a truck ran into a crowd celebrating the Bastille Day national holiday at around 10:30 p.m. local time. The attack — a third major terrorist tragedy in France in the last 18 months — shocked investors in companies associated with the travel and tourist industry and has pushed shares substantially lower so far on the day.
Hotel groups have been the worst affected stocks so far. This is how Accor — the French listed hotel firm which operates, amongst other things Ibis, Novotel, and Sofitel hotels — looks at around 8:30 a.m. BST (3:30 a.m. ET):
Airline groups, including easyJet, British Airways’ parent company International Consolidated Airlines Group, and RyanAir are among the stocks lower on the day. This is how easyJet looks:
As Mike van Dulken of Accendo Markets noted in a morning email, “The subject of terrorism is sure to dominate headlines today, with attention also sure to focus on what this means for the evolving shape of the political landscape in France and the US (Le Pen, Trump sure to gain more support), not to mention how the UK views this in light of having just voted to leave the EU.”
The negative reaction of travel-based stocks is becoming a grimly familiar sight in Europe. Shares in similar companies experienced virtually the same reaction following the Brussels terrorist attacks in March, when attackers detonated explosive devices in the Belgian capital’s airport and metro network.
Overall, European stocks are trading substantially lower on the day, thanks to the attack. Every major European index is trading lower this morning. Here is the scoreboard: