Will Carnival Stock Rise Further After 12% Rally Last Week?

SectorFinancial Markets

BRAZIL - 2020/05/18: In this photo illustration a Carnival Corporation logo is seen displayed on a ... [+] smartphone. (Photo Illustration by Rafael Henrique/SOPA Images/LightRocket via Getty Images) SOPA Images/LightRocket via Getty Images Carnival stock (NYSE: CCL) has rallied by about 12% over the last five trading days, significantly outperforming the S&P 500 which is up by 2.8% over the same period. There are a couple of factors driving the gains.

Firstly, the U.S. Centers for Disease Control and Prevention indicated last Friday that fully vaccinated people are likely to see low risk from travel, noting that they would no longer need to undergo Covid-19 testing or quarantines by the CDC for travel within the U.S. Moreover, on Tuesday, the CDC said that U.S. cruises could possibly resume by mid-summer after Carnival threatened to relocate some of its ships to other markets. These developments are likely giving investors hope that the U.S. cruises which have largely been suspended since last March, should re-open in the near term, while potentially boosting confidence for customers. So is Carnival stock poised to rally further or is a correction looking imminent? Based on our machine learning engine, which ...read more...