Wait, what's this? The United States Oil Fund LP (ETF) (NYSE: USO) is up more than 24 percent over the past month, and airline stocks are not getting smacked around? Give the U.S. Global Jets ETF (NYSE: JETS) credit. The lone exchange-traded fund dedicated to airline stocks is up 6.8 percent during USO's surge.
That defies the conventional logic that rising oil prices are bad news for airline stocks. JETS and some of its holdings are also performing well as fuel hedging is becoming an issue for some airlines. Hedging was all the rage for airlines during the real go-go days for oil prices, but low oil prices are crimping some airlines that are committed hedgers.
/www.benzinga.com/trading-ideas/long-ideas/16/03/7748361/airline-etf-endures-oils-rise-hedging-issues alt=Airline ETF Endures Oil's Rise, Hedging Issues>Full story available on Benzinga.com
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