Casino stocks jump on hopes for stimulus

Las Vegas

Casino shares in the U.S. surged on Thursday on the expectation the U.S. government will provide assistance to the sector as part of its economic stimulus efforts.

Penn National Gaming was up 55 percent mid-morning, while Caesars Entertainment jumped 30 percent, MGM International Resorts, which has been hammered down some 80 percent as a result of the coronavirus, was up 26 percent.

Other notable movers included Las Vegas Sands, which gained 14 percent and Wynn Resorts, which was up more than 19 percent. 

The hotel, travel and entertainment sector has been one of the hardest hit as the outbreak has forced global closures of properties. However, with no clear end in sight to the crisis, the gains may not be sustainable.

According to CNBC, the U.S. travel industry is seeking $150 billion in aid and estimates the virus could wipe $355 billion off of travel spending.