With the vaccination effort working its way around the world, travel is expected to return in the upcoming months. Spring and summer, in particular, should see a marked increase.
Additionally, even while the economy is still coping with the pandemic, the travel industry is making the necessary adjustments. More companies operating within the industry are taking the rudimentary procedures to adjust, accepting the notion that dealing with COVID-19 is simply the new normal.
According to a New York Times report, travel agents and operators have noticed that bookings are on the uptrend for the spring as well as summer seasons. Trade organizations like the World Travel & Tourism Council (WTTC) are forecasting that travel and tourism in the United States will reach pre-pandemic levels in 2022, accounting for almost $2 trillion of the country’s economy.
“Our latest forecast shows the recovery significantly picking up this year as infection rates subside and travelers continue benefiting from the protection offered by the vaccine and boosters,” said Julia Simpson, the president and chief executive officer of the WTTC. “As travel restrictions ease and consumer confidence returns, we expect a welcome release of pent-up travel and demand.”
Leveraging Travel and Vacation
Traders can add a double dose of leverage to capitalize on strength in the daily travel and vacation sector with the Direxion Daily Travel & Vacation Bull 2X Shares (OOTO). The fund focuses on returning 200% of the BlueStar® Travel and Vacation Index.
The index exposes traders to global commercial airlines, hotels & resorts, resort casinos, travel agencies, online travel booking sites, hotel REITs, cruise lines, theme parks, and ski resorts. The fund has been trending higher so far this year, rising close to 5%, and should that trend uphold, it should give bullish traders reason to cheer.
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