Airline industry leading economic recovery?
The up-and-down airline industry is headed for a recovery, analysts predict, for several reasons:
• Fuller planes
• Fewer discounted fares
• Lower fuel prices
• Revenues from a variety of formerly free services are starting to pay off
“The signs of improvement are most advanced at low-fare carriers that focus on domestic
Flights,” said the Wall Street Journal.
Said Wall Street research analyst David Silver:
“I think you’re going to see that these smaller companies are going to have much more room for growth. They’re not really into this hub-and-spoke-type mentality; they’re able to expand quicker, get more engaged even into the smaller cities and really turn a profit.”
To cite one recovery example: passenger miles and revenues at Southwest Airlines Co. soared 12 percent last month from a year ago.
Stocks were also surging during recent days, particularly after the unemployment rate unexpectedly dropped to 10 percent last month or smaller then the expected 10.2 percent.
Job losses totaled 11,000 or less than the expected 130,000.
Partly as a result, the AMEX Airline Index lifted 4.3 percent to its highest point in almost two years. That index started to come down this week, however.
“Airline stocks dipped Monday following a two-week surge in gains that came with investor enthusiasm over a recovering economy,” reported the Wall Street Journal.
By David Wilkening
David
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Phocuswright reveals the world's largest travel markets in volume in 2025
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
Cyclone in Sri Lanka had limited effect on tourism in contrary to media reports
Singapore to forbid entry to undesirable travelers with new no-boarding directive
Euromonitor International unveils world’s top 100 city destinations for 2025