Delta Air Lines' stock soared 7.73% during intraday trading on Friday, as the airline led gains in the transportation sector.
The surge comes amid a broad rally in transportation stocks, with the Dow Jones Transportation Average nearing an all-time high. Strength in transportation shares is viewed as a healthy macroeconomic indicator, with positive economic data including rising truckload demand and a strong ISM Manufacturing Index reading contributing to optimism about the U.S. economy.
Analysts note that Dow Theory, which suggests a simultaneous record run in the transports and the broader market is a positive sign, is confirming that the bull market remains intact. This broader economic optimism is fueling gains across airline stocks.