![]() ![]() The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines. Include in your travel related email group or CC us on emails with ticket. Email Flight Tickets to Us Book flights as normal from your travel agent. ![]() On the date of publication, Bret Kenwell did not have (either directly or indirectly) any positions in the securities mentioned in this article. We help corporates to re-book the flight tickets when price drops, cancel the old tickets and save money. About the only one that’s done well is Spirit Airlines (NYSE: SAVE), and that’s as it has multiple bidders in a takeover attempt. So are United Airlines (NASDAQ: UAL), American Airlines (NASDAQ: AAL), JetBlue Airways (NYSE: JBLU) and Southwest Airlines (NYSE: LUV). Delta Air Lines (NYSE: DAL) is fresh off a top- and bottom-line miss and is hovering near multi-month lows. Worries of a recession may eventually alleviate some of the flight demand as well.ĭespite the robust demand and rise in fares, airline stocks haven’t reflected those realities. Given that many airlines buy their fuel in advance though, those higher prices may have a lingering effect on flight prices. While inflation is still high, we’re seeing some pricing pressure alleviate. Further, crude is down more than 30% from the high in February. That includes hourly earnings and core CPI readings.Ĭrude oil prices have also been under pressure, down more than 20% over the past month. While the CPI report for June came in ahead of expectations, we’re starting to see some portions of inflation fall on a month-to-month basis. With fuel prices still elevated and the demand for travel still going strong, it could be awhile before consumers see a meaningful reduction in flight prices. However, some experts expect things to mellow out once summer travel winds down, likely in September or October. Nobody can say for sure when prices will start to go down. The big question remains, when will we see flight prices go down? It’s clear that everyone is ready to return to the skies after the pandemic grounded many travelers for years. Lastly - and perhaps the main reason - flight prices have climbed due to the simple nature of supply and demand. Airlines’ staffing issues are not only with flight attendants but also with pilots. Jet fuel usually accounts for at least 30% of airlines’ operating expenses. Unfortunately, sky-high airfare prices can be attributed to several things.įirst, airlines have had to increase their fares due to jet fuel prices, which have gone up considerably. In late March, prices were up some 40% from January. Since then, prices don’t seem to be going down, either. Bureau of Labor Statistics’ Consumer Price Index, airfare prices recently hit their largest one-month jump in history – climbing 18.6% from March to April 2022. Pent-up demand has caused a chaotic summer of travel, which ranges from delays, cancellations, lost baggage and increased flight prices.Īccording to the U.S. Those great deals on flights you used to be able to snag seem to be long gone. It’s pretty obvious that flight prices have skyrocketed. ![]()
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