Shares of tour, travel-related services providers and aviation firms dropped on Monday amid rising oil prices and Prime Minister Narendra Modi calling for postponing overseas travel for one year to save foreign exchange due to the West Asia crisis.
The stock of Yatra Online tanked 5.41 per cent, Thomas Cook (India) Ltd lost 3.88 per cent and Easy Trip Planners declined 3.27 per cent on the BSE.
Shares of InterGlobe Aviation tumbled 4.94 per cent and SpiceJet declined 4.72 per cent.
Brent crude, the global oil benchmark, traded 3 per cent higher at USD 104.4 per barrel.
Emphasising that the Centre is trying to shield people from the adverse impact of the conflict in West Asia, PM Modi on Sunday called for judicious use of fuel, postponement of foreign travel, among other measures, to strengthen the economy.
Stressing the need to save foreign exchange due to the crisis, Modi called for postponing the purchase of gold and foreign travel for one year.
"We have to save foreign exchange by any means," he said, adding that due to the West Asia conflict, prices of petrol and fertilisers had increased significantly.
Hariprasad K, Research Analyst and Founder, Livelong Wealth, said, "Travel and aviation counters came under pressure following the call to postpone non-essential foreign travel. IndiGo declined sharply, while tourism and hospitality stocks remained weak on concerns over reduced international travel demand."
