Sector movers: TUI and IHG drag down leisure stocks

10th Aug 2010 15:30

Travel and leisure stocks, particularly those related to holidays, are having a poor day.TUI Travel warned profits this year will be at the low end of forecasts after UK bookings faltered. Bookings by Britons are down by 2% over the past 12 weeks with the Netherlands down by 3%. This later booking trend, blamed on good weather in UK and the impact of the emergency Budget, has adversely affected profitability, TUI added. Rival Thomas Cook is down in sympathy.The worries hit shares in InterContinental Hotels (IHG) even though it said the hotel trade is recovering from the effects of the recession. The Holiday Inn owner also reported a better than expected 22% rise in operating profit to $219m in the six months ended 30 June.Mining stocks are also down as metal prices retreat on global economy worries.Antofagasta, Rio Tinto and Aquarius Platinum are among the big companies in the sector posting losses.Top performing sectors so far todayPharmaceuticals & Biotechnology 8,956.28 +1.46%Health Care Equipment & Services 3,206.09 +0.47%Food & Drug Retailers 4,670.89 +0.16%Food Producers & Processors 4,617.20 +0.06%Bottom performing sectors so far todayAutomobiles & Parts 3,362.14 -2.90%Mining 21,093.51 -2.53%Travel & Leisure 4,431.87 -2.50%Industrial Metals & Mining 6,044.73 -2.32%Forestry & Paper 5,051.77 -2.23%