Low-cost carrier EasyJet is set to return to the FTSE 100, after falling from the index as a result of the pandemic’s economic impact in June 2020.
FTSE Russell, the global index provider, said the airline is an “indicative FTSE 100 addition” and its addition will be announced after the market closes on March 2.
Its return is thanks to the easing of travel restrictions and consequent rising booking levels, reported CityAM.
Susannah Streeter, Hargreaves Lansdown’s senior investment and markets analyst, told CityAM, that easyJet’s focus on short-haul travel puts it in a better position than its long-haul rivals.
“UK beach and leisure routes look set to benefit from pent-up travel demand in the months to come as holiday-starved families seek out a temporary stint in the sun,” she said.
But she also warned that the increasing threat of a Russian invasion of Ukraine could “spook” the travel industry.