Stocks

IndiGo, SpiceJet gain over 1% as domestic flight capacity increased to 65 per cent

Our Bureau Mumbai | Updated on July 06, 2021

The cap at 65 per cent will be operational until July 31 or till further order

Aviation stocks such as Interglobe Aviation (IndiGo) and SpiceJet gained over one per cent during the morning trade on Tuesday after the Ministry of Civil Aviation increased the capacity of domestic flights to 65 per cent from 50 per cent.

At 10:17 am, SpiceJet was trading at ₹80.50 on the BSE, up ₹1.40 or 1.77 per cent. It had opened at ₹81.15 as against the previous close of ₹79.10. It hit an intraday high of ₹82.00 and a low of ₹80.30.

On the NSE, it was trading at ₹80.55, up ₹1.50 or 1.90 per cent.

IndiGo was trading at ₹1,775.60 on the BSE, up ₹18.70 or 1.06 per cent. It had opened at ₹1,770.00 as against the previous close of ₹1,756.90. It hit an intraday high of ₹1,810.00 and a low of ₹1,763.00.

Airlines cut losses with air traffic rise

On the NSE, it was trading at ₹1,776.90, up ₹20.95 or 1.19 per cent.

Covid impact

Aviation stocks gained focus as the Civil Aviation Ministry allowed domestic airlines to operate at 65 per cent of their original pre-Covid-level capacity. The Centre, on July 5, increased seating capacity from the current 50 per cent to 65 per cent, stating that the cap on domestic aviation capacity at 65 per cent will be operational until July 31 or till further order.

Domestic airlines allowed to operate 80% of pre-Covid flights

The Ministry, for the first time after May 2020, had decreased domestic airlines capacity from 80 per cent of the summer schedule 2020 down to 50 per cent from June 1, 2021, as per an order dated May 28 amid the sudden sudden spike in Covid-19 cases.

Published on July 06, 2021

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