A volcano in Iceland is once again in the news and from the looks of the recent satellite image below taken by NASA, it could end up being Eyjafjallajokull déjà vu all over again in a worst case scenario:
Iceland’s Grimvotn volcano is already shooting a plum of ash 15 kilometers into the sky – higher than the Eyjafjallajokull eruption. The volcano is also creating spectacular lightning storms and has spawned 1,000 times more lightning strikes per hour than the Eyjafjallajokull eruption.
However, experts say that the effects on air transportation should not be as severe because the ash cloud is forecasted by the Icelandic Meteorological Office to move towards the northeast.
Nevertheless, the Wall Street Journal has reported that options traders are already placing bets that American Airlines (AMR), the largest American air carrier by traffic on services to the UK, could be impacted by the eruption of Grimvotn. Specifically, options traders were abandoning bullish positions in favor of bearish AMR positions heading into June.
If you are concerned though that the volcanic eruption can some how impact your flying or flight plans, check out the the Volcanic Ash Advisory Centre’s website for further information and news. Likewise, the Icelandic Meteorological Office is continuously providing up-to-date information about the eruption.