Coronavirus fears: easyJet and IAG share prices continue to fall
The low-cost airline and the owner of British Airways continue to see their stocks trade lower this week, with the pair both tumbling more than 4% in early morning trading.
easyJet and International Consolidated Airlines Group (IAG) shares continue their descent this week, with the pair both down more than 4% in early morning trading on Monday as coronavirus fears mount.
Both easyJet and IAG have reported tumbling demand across Europe as the coronavirus outbreak worsens, with the pair both forced to cancel hundreds of flights into northern and central parts of Italy.
More than 16 million people across Italy have been quarantined as part of major restrictions imposed on citizens by the Italian government until 3 April in a bid to stop the spread of COVID-19.
‘In the short-term we will be cancelling a number of flights to and from these destinations on Monday 9 March,’ easyJet said on Sunday.
‘We expect to continue to reduce the number of flights in and out of Milan Malpensa, Milan Linate, Venice and Verona airports in the period up to April 3 and will provide a further update on our schedule in due course.’
easyJet and IAG are trading at £9.59 and 405p respectively as of 9:25 (GMT) on Monday.
PM Boris Johnson to hold emergency Cobra meeting
The British Prime Minister Boris Johnson is scheduled to hold an emergency Cobra meeting later to determine whether to bring in ‘social distancing’ measures aimed at delaying the spread of the coronavirus in the UK.
If these measures are introduced it could lead to a banning of big events, school shutdowns and asking businesses to let their employees work from home.
However, the UK culture, media and sport secretary Oliver Dowden told BBC Breakfast that at this stage there is no evidence to suggest that sporting events need to be cancelled.
‘We are guided by the facts and we are guided by the evidence,’ he said. ‘At the moment the advice is clear from the chief medical officer: there isn't a need to cancel such events.’
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