U.S. airlines forecast strong 2023 travel
But economic uncertainty and burgeoning labor and operations costs could cloud their rosy outlooks
Airlines are cashing in as consumers snap up tickets following a pandemic-induced slump, making the industry a rare bright spot as markets grasp with runaway inflation, rising interest rates and economic uncertainty.
Key takeaways
- American Airlines Chief Executive Robert Isom said post-holiday bookings surged, underpinned by domestic and short-haul international flights;
- The U.S. economy grew faster than expected in the fourth quarter but some analysts are warning that the pace of growth may slow;
- China's reopening may also boost international travel, but demand remains uncertain and U.S. airlines face challenges toward cashing in.
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