Further wave of Covid-19 selling hits Ryanair and Dalata Hotel shares

Wed, 28 Oct, 2020 - 09:15

Eamon Quinn and Devik Jain

Shares across Europe were hit again by a further wave of selling on fears about the economic damage in the wake of a resurgent Covid-19, sinking travel and hotel stocks.

The Iseq in Dublin fell by almost 2%, with Ryanair and Dalata Hotel falling further, by over 4%. The Cac-40 in Paris and the Bel-20 in Brussels fell by 1.7%, and the Ftse-100 and Ftse-250, the wider barometer of British companies, fell by 1% and 1.5% respectively.

In Britain, uncertainty over a Brexit trade deal and concerns about the financial fallout from coronavirus-related restrictions have pressured British markets this month, with data also pointing towards a faltering economic recovery.

The latest industry survey showed Britain’s retail sales this month fell to their lowest level since June, after hitting an 18-month high in September.

In the latest round of restrictions, Warrington in north-west England was placed on the highest tier-three alert level, while Nottingham in central England and three nearby towns would have similar restrictions from Thursday.

"The resurgence in coronavirus cases throughout Europe and the US remains an issue which holds back stocks, and that is unlikely to change given the ongoing deterioration we are seeing in recent weeks," said Joshua Mahony at online broker IG.