Major Chinese airline stocks fell Thursday on both the A-share and H-share markets upon jet fuel oil price hike and expected weak operating data in June.
A-share price of China Southern Airlines, Air China and China Eastern Airlines Thursday fell by 3.79 percent, 4.14 percent and 3.77 percent, respectively, to close at 7.87 yuan, 9.96 yuan and 7.14 yuan.
H-share price of China Southern and China Eastern dropped by 2. 61 percent and 1.29 percent to close at 2.98 and 2.29 Hong Kong dollars.
H-share price of Air China gained 3.35 percent to close 4. 01Hong Kong dollars.
Morgan Stanley predicted in a report published Wednesday that the H-share price of the above-mentioned three Chinese airline giants would have 70-80 percent chance to drop in 15 days.
Morgan Stanley deemed that the Chinese airline shares would be dragged by the hike of jet fuel oil price and the pending operating data for June.
China's domestic jet fuel price was up adjusted by 23 percent or 1,500 yuan/ton by the government as of June 20. Besides, China's major jet fuel oil supplier China Aviation Oil announced to further raise the jet fuel oil price by 9 percent or 720 yuan/ton since July 1.
Meanwhile, the Chinese airline stocks were also affected by the rebound of oil futures price Wednesday on the New York Mercantile Exchange.
Mr. Yang Yuanyuan, former Minister of CAAC , was there at Aviation Expo/China 2007 with us
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