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The nonprofit education strategist in Washington, D.C., was looking for airfares to visit her brothers in Texas over the Thanksgiving weekend. “I told my mom—kind of kidding, but kind of not—that it would be cheaper for the whole family to fly to Paris,” said Perrotti, 35. Since that decidedly un-American Turkey Day, Perrotti and her family have celebrated Thanksgiving in Barcelona, Jordan, Istanbul and Mexico. “We’re really motivated to choose locations based on the cost of flights,” Perrotti said, adding that she subscribes to flight-deal newsletters to keep track of discounted fares well before the holiday rush. A love of traveling to different places in general and “being open to so many options” drives their approach, she said.
Persons: Alex Eben Meyer, Alexandra Perrotti, , , Perrotti, “ We’re, ” Perrotti Organizations: Washington , D.C Locations: Washington ,, Texas, Philadelphia, Paris, Barcelona, Jordan, Istanbul, Mexico
Falling prices of commodities like copper and lumber “negatively impacted” Home Depot’s third-quarter earnings, CEO Ted Decker told investors on the company’s earnings call earlier this week. In particular, they're noticing consumers pushing off bigger-ticket purchases like appliances, which have become cheaper compared to a year ago. But the problem with deflation is that when people begin to expect lower prices in the future, they have little incentive to make purchases right now. In China, however, prices across all goods and services were 0.2% lower in October compared to the same month last year. He also warned that US-based Walmarts could enter “a deflationary environment.”Besides eggs, other cheaper goods include airfares, gasoline, appliances and smartphones.
Persons: Cathie Wood, , Ted Decker, Billy Bastek, ” Bastek, Justin Sullivan, Doug McMillon, Preston Caldwell, “ it’s Organizations: New, New York CNN, Tech, ARK Investment Management, Wall Street, Home Depot, Walmart, Morningstar, CNN Locations: New York, United States, China
The American Farm Bureau Federation's annual survey of holiday food prices out Wednesday shows the full spread will run a party of 10 about 4.5% less in 2023 than in 2022. Her analysis, in fact, and the evolution of the farm bureau's Thanksgiving meal prices are a micro-version of the larger pandemic inflation story that households, elected officials and the Federal Reserve have been grappling with. The good news: The pace of change may remain slow going forward, with supply problems now largely sorted out and recent producer price data pointing to modest food inflation ahead. According to the farm bureau turkey prices are likely headed even lower after their survey. "Consumers who have not yet purchased a turkey may find additional savings in the days leading up to Thanksgiving," the organization said in a news release.
Persons: Betty Resnick, Resnick, Howard Schneider, Andrea Ricci Organizations: American Farm Bureau, Federal Reserve, Reuters, Federal, AAA, airfares, Consumers, Farm Bureau, Labor Department, Thomson
Compared with 12 months ago, consumer prices rose 3.2% in October, down from the 3.7% rise in September and the smallest year-over-year increase since June. Measured year over year, core prices rose 4% in October, down from 4.1% in September, the smallest rise in two years. They have continued to fall into November, suggesting that cheaper energy could hold down inflation this month as well. Political Cartoons View All 1244 ImagesGrocery store prices rose 0.3% last month and 2.1% from a year earlier. Even with the smaller increase, rental and housing costs accounted for two-thirds of the increase in core inflation compared with a year ago.
Persons: Bill Adams, Jerome Powell, Powell, , Adams, , Eric Winograd Organizations: WASHINGTON, Labor Department, Comerica Bank ., Fed, Dow, AB Global Locations: United States
The glut of deals suggests that the airline industry’s supercharged pandemic recovery may finally be slowing as the supply of tickets catches up and, on some routes, overtakes demand, which appears relatively robust. Consider the fares that Denise Diorio, a retired teacher in Tampa, Fla., recently scored. She spent less than $40 on flights to and from Chicago and paid just $230 for a round-trip ticket from New York to Paris and back, a trip she plans to take this month. “I’ve been telling all my friends, ‘If you want to go somewhere, get your tickets now,’” she said. The bargains she found may be exceptional, but Ms. Diorio is right that deals abound.
Persons: Airfares, Denise Diorio, “ I’ve, ’ ”, Diorio Locations: Tampa , Fla, Chicago, New York, Paris
October Inflation Report Price Rises Expected to Cool
  + stars: | 2023-11-14 | by ( Jeanna Smialek | ) www.nytimes.com   time to read: +7 min
Airlines lower their fares when they are trying to get more people to book tickets as demand is slowing or they are facing stiffer competition. Early this month, the average price for a domestic flight around Thanksgiving was down about 9 percent from a year ago. But some airlines say demand is slowing outside of holiday and other peak travel periods. Image Thanksgiving this year is expected to set a record for air travel, with nearly 30 million passengers anticipated. If travel demand is dropping, in some ways that’s an even bigger win for people who are never going to give up on travel.”
Persons: Denise Diorio, “ I’ve, ’ ”, Diorio, Hopper, , Kyle Potter, Potter, Stefani Reynolds, John Grant, “ We’re, , ” Barry Biffle, Steve Hafner, that’s Organizations: Airlines, Airlines for America, Credit, The New York Times, U.S, JetBlue Airways, Spirit Airlines, Frontier Airlines, Miami, Analysts Locations: Tampa , Fla, Chicago, New York, Paris, Europe, Caribbean, Denver, Orlando, Fla, Los Angeles, East, Ukraine
The week starts off with a bevy of unpleasant surprises for the markets and the economy but with maybe a hope of good news on the inflation front. “The decline in oil prices will feature prominently in explaining October's CPI and PPI reports. Core CPI likely slowed in October as well, with lower prices of new and used cars, lower airfares, and lower shelter costs all leaning the same way. PPI inflation likely moderated in October, too, with diesel prices following crude oil prices lower, albeit not by as much as gasoline. Powell’s comments were not anything new, but the timing seemed to suggest he was dampening down enthusiasm in the markets.
Persons: Moody’s, Mike Johnson, , Bob Doll, Republican Sen, Tim Scott of, David Cameron, Rishi Sunak, Stocks, Bill Adams, Waran Bhahirethan, ” Adams, Jerome Powell spooked, ” Powell, Oliver Rust, Sam Bullard, ” Bullard Organizations: U.S, AAA, Louisiana Republican, GOP, Senate, Crossmark Global Investments, Republican, Tim Scott of South Carolina, Conservative, Analysts, Comerica Bank, PPI, CPI, Federal Reserve, International Monetary Fund, Central Bank, , Wells Locations: U.S, Louisiana, Tim Scott of South, London, Iraq, Syria, Gaza City, September’s, Israel, Washington
China Southern Airlines sold tickets for as little as $1.40 due to an hours-long system glitch on Wednesday. Fares for a China Southern flight ticket from Chengdu to Beijing start around $55. AdvertisementAdvertisementA Chinese carrier said it is honoring air tickets priced as low as 10 Chinese yuan, or around $1.40, that were sold due to a system glitch. AdvertisementAdvertisementIt's unclear how many bargain-bin tickets China Southern sold and which flight routes were affected by the system glitch. AdvertisementAdvertisementIn April, some travelers managed to snag $10,000 roundtrip tickets on Japanese airline All Nippon Airways for just $300.
Persons: Organizations: China Southern Airlines, China Southern, Service, . China Southern Airlines, Weibo, All Nippon Airways, ANA Locations: China, Chengdu, Beijing, Southwestern, Guangzhou
Flights to Europe Are Becoming Cheap Again
  + stars: | 2023-11-07 | by ( Jacob Passy | ) www.wsj.com   time to read: 1 min
Flying to Europe in 2024 without spending a fortune is in the cards after a long stretch of sky-high prices. Airlines have added new routes between the U.S. and Europe and announced plans to increase flights on some routes next spring and summer. The added capacity means travelers can get a break from the run of high airfares in the past couple of years. Some prices are still high—the average cost of round-trip airfare to Barcelona is over $1,000, according to travel-search website Kayak. But deals now exist that didn’t before, and industry watchers say they expect more to come.
Persons: airfare Organizations: Airlines, U.S Locations: Europe, Barcelona
“I have been consistently surprised at the resilience of consumer spending,” Christopher Waller, an influential member of the Fed’s board, said in a speech this month. “The acceleration of consumer spending on experiences (has) propelled us towards another outstanding quarter,” said CEO Jason Liberty. Wealthier households, in particular, have enjoyed substantial growth in home values and stock portfolios, which are likely juicing their spending. Spending on the bank's credit and debit cards by households with incomes below $50,000 has risen faster than spending by higher-earning clients. “Consumer spending across all segments from high to low has remained stable since March."
Persons: , they've, ” Christopher Waller, , Jason Liberty, , Tim Duy, they're, Julia Pollak, Sarah Wolfe, Morgan Stanley, Small, Bret Csencsitz, Aditya Bhave, Valerie Zaffina, Zaffina, Bhave, Biden, Christopher Suh, ___ Organizations: WASHINGTON, U.S, Federal Reserve, Royal Caribbean Group, Travelers, ZipRecruiter, Fed, Gotham, Bank of America, Visa Locations: U.S, New York City, COVID, Ramsey , New Jersey, I’m, Washington, New York
Those concerns are battering airline stocks even as earnings reports point to a continuing consumer appetite for travel. While both United and Delta said travel demand is holding up, double-digit declines in airfares year-over-year suggest airline pricing power has peaked. United, which has not forecast profit for 2024, on Tuesday similarly said travel demand remains "strong and steady." New labor contracts as well as the higher fuel prices mean cost pressures aren't going away. American Airlines (AAL.O) and Alaska Air (ALK.N), who will report earnings Thursday, have cut their third-quarter profit estimates due to higher fuel costs.
Persons: Eduardo Munoz, Brian Mulberry, Delta, Ed Bastian, Mulberry, United, Michael Leskinen, Conor Cunningham, Rajesh Kumar Singh, Ben Klayman, Rod Nickel Organizations: United Airlines, Newark Liberty International Airport, REUTERS, Rights, NYSE, Zacks Investment Management, Delta Air Lines, United, Delta, New, American Airlines, Alaska Air, Melius, Thomson Locations: York, Newark , New Jersey, U.S, Chicago, United, Israel, Tel Aviv
D3sign | Moment | Getty ImagesIf you have yet to purchase your fall and winter holiday travel and are hoping for a bargain airfare, time is running out. "Travelers are going to miss out on the opportunity to save when they wait too long," said Hayley Berg, lead economist at Hopper. In early October, 85% of Hopper app users who intended to book holiday travel had yet to do so, according to a survey of 500 people. In the last few days before Christmas, travelers could see price jumps of about $40 a day, Hopper anticipates. Fares will likely become increasingly competitive as travelers wait, "judging by the number of people traveling this year," said Elizabeth Ayoola, a personal finance writer at NerdWallet.
Persons: Hayley Berg, Hopper, Berg, airfare, Elizabeth Ayoola Organizations: Travelers, Finance, Air, Getty
Delta Air Lines' profit rose nearly 60% in the third quarter as strong travel demand continued through the summer, particularly for international trips, though the carrier forecast full-year earnings toward the low end of an earlier estimate after a jump in fuel prices. Delta cut its free cash flow estimate for the year to $2 billion from the $3 billion it forecast in the summer. Delta and other airlines trimmed their third-quarter forecasts in recent weeks because of a surge in fuel prices. Delta and other global airlines have cited particularly strong demand for trips abroad, with trans-Atlantic travel a standout. Main cabin revenue came in at $6.62 billion, up 12% on the year, while premium product sales rose 17% to $5.11 billion, Delta said.
Persons: Delta, Ed Bastian, Bastian, Airfares, Weeks Organizations: Delta Air Lines, Delta, CNBC, United Airlines, American Airlines Locations: LSEG, Atlanta
WASHINGTON (AP) — U.S. job openings unexpectedly rose in August, another sign the U.S. labor market remains strong despite higher interest rates — perhaps too strong for the inflation fighters at the Federal Reserve. American employers posted 9.6 million job openings in August, up from 8.9 million in July and the first uptick in three months, the Labor Department said Tuesday. ""Yes, the job market is still retaining a lot of heat,'' he said, "but it hasn't gone back on the boil.'' The Federal Reserve wants to see the red-hot U.S. job market cool off, reducing pressure on businesses to raise pay, which can feed into higher prices. The Fed chose not to raise rates at its last meeting Sept. 19-20.
Persons: Economists, , Nick Bunker, hasn't, Jerome Powell, Dow Jones, Rubeela Farooqi, Loretta Mester, , ” Mester, Christopher Rugaber Organizations: WASHINGTON, , Federal Reserve, Labor Department, Federal, Fed, Federal Reserve Bank of Cleveland, AP
Pilots at Australia's Qantas demand chair quit over scandals
  + stars: | 2023-09-26 | by ( ) www.reuters.com   time to read: +3 min
Qantas Airways QF100 flight, which marks the airline's 100th birthday, departs from Sydney Airport to fly over Sydney Harbour in Australia, November 16, 2020. "We have totally lost confidence in Goyder and his board," AIPA President Captain Tony Lucas said in a statement. "Qantas desperately needs a culture reset but how can this happen with Richard Goyder as chairman?" Qantas declined to comment, referring Reuters to previous public comments from Goyder where he refused to quit. Goyder, who has been the airline's chairman since 2018, is not up for reelection at its annual meeting in November.
Persons: Gregg Porteous, Vanessa Hudson, Richard Goyder, Captain Tony Lucas, Goyder, Alan Joyce, Albanese, Byron Kaye, Jamie Freed Organizations: Qantas Airways QF100, Sydney Airport, Sydney Harbour, Handout, REUTERS, Rights, Australia's Qantas Airways, Australian, International Pilots Association, Qantas, Reuters, Qatar Airways, Thomson Locations: Australia, Goyder
A pedestrian carrying an umbrella walks near the Bank of England in the City of London, Britain, July 30, 2023. Investors had already rushed on Wednesday to reel in their bets on further UK rate rises after data showed UK inflation cooled surprisingly quickly in August. Against the euro , the pound was down 0.5% at 86.74 pence, having traded around 86.70 pence before the decision. "The MPC still refers to its flexibility to react should things change, but the chances are this could be the peak in this UK interest rate cycle." "However, there is a risk that the ‘lag effect’ on interest rate hikes means that today’s decision may not be felt for another 9 to 12 months."
Persons: Hollie Adams, Sterling, THOMAS, Huw Pill's, HUGH GIMBER, PHILIP SHAW, DOUGLAS GRANT, JEREMY BATSTONE, CARR, RAYMOND JAMES, FRANCES HAQUE, JOE TUCKEY, RICHARD GARLAND, GILES COGHLAN, BoE, stagflation, Amanda Cooper, Dhara Organizations: Bank of England, City of, REUTERS, London, Investors, Bank of, Bank, MPC, SANTANDER, LONDON, Core CPI, PMI, CPI, EMEA, Thomson Locations: City, City of London, Britain, London, MANX, EUROPEAN, FRANCE, GROUP, OXFORDSHIRE
Facing fares row, Ryanair hit by new antitrust probe in Italy
  + stars: | 2023-09-20 | by ( ) www.reuters.com   time to read: +2 min
Ryanair said on Wednesday that internal Italian flights to Sicily would be cut by 10% in its latest winter schedule, blaming the government's planned price cap. Eddie Wilson, the chief executive of Ryanair DAC, the biggest airline in the Ryanair group, said the airline opposed the measure despite the modification. During a visit to Sicily, Wilson contrasted Ryanair's expansion of foreign flights to and from the island with the reduction on domestic routes. "Italian domestic growth has sadly been negatively impacted by the Italian government's unlawful price cap decree to restrict airlines’ freedom to set low air fares," Wilson said in a statement. Ryanair has already reduced its domestic schedule for flights to Sardinia over the winter.
Persons: International Eleftherios Venizelos, Alkis, Eddie Wilson, Wilson, Alvise Armellini, Keith Weir, Cristina Carlevaro, Jason Neely, Barbara Lewis Organizations: Ryanair, Company, Europe's, International Eleftherios, REUTERS, Ryanair DAC, Thomson Locations: Italy, Sicily, ROME, Athens, Greece, Sardinia
NYC hotel rates to go upNew York City has more than enough hotels to meet traveler demand, Davis said, citing an unprecedented supply of new hotel rooms in the city. "Since 2020, 10,000 new hotel rooms have been delivered, and over the next couple of years, another 10,000 new hotel rooms will be delivered to the city," he said. "So there's absolutely more than enough supply of hotel rooms to accommodate all the tourists that want to come to New York City." Knock-on effectFrom London to Paris and Dubai, cities across the world have regulated short-term rental markets. "It's certainly possible that they could follow the lead of New York City," Davis said.
Persons: we've, Kevin Davis, Davis, CNBC's Mandy Drury Organizations: Associated Press, New York City, JLL, Hospitality's, Google, New, & ' Locations: New York City, New York, Hospitality's Americas, airfares, United States, U.S, airfare, London, Paris, Dubai
A dearth of Chinese travelers is nothing to "worry about," said Banyan Tree Holdings founder Ho Kwon Ping. "Most of us in the hospitality industry, a year or so ago, predicted that Chinese tourism would only start to rebound around maybe this year or even next year." For Banyan Tree Holdings — which operates more than 60 hotels in 17 countries — Ho said "Chinese tourism [is] coming back quite strongly." What's missing are the "mass group tours, which provide the numbers, but they don't come to our hotels anyway," he said. "So you have a lot more free individual travelers … and they're the ones who can pay the higher airfares and so on."
Persons: Ho Kwon Ping, CNBC's Chery Kang, — Ho Organizations: Tree Holdings, Milken, Holdings Locations: China
Two other defendants, American Airlines (AAL.O) and Southwest Airlines (LUV.N), previously settled for a respective $45 million and $15 million. Delta and United called their seating capacity reductions a legitimate response to reduced demand, rising fuel prices and the 2008 global financial crisis. Both carriers went through bankruptcy not long before the purported conspiracy began, with United emerging in 2006 and Delta emerging in 2007. United said it was disappointed with the judge's decision, and will seek to have it reconsidered or file an appeal. Payouts will not begin until claims against Delta and United are resolved.
Persons: Doug Parker, Gary Kelly, Scott Kirby, John Laughter, Sara Nelson, Colleen Kollar, Defendants, Kotelly, United, Jonathan Stempel, Grant McCool Organizations: American Airlines Group Inc, Southwest Airlines Co, United Airlines Holdings Inc, Delta Air Lines Inc, Delta Air Lines, United Airlines, Washington , D.C, American Airlines, Southwest Airlines, U.S . Department of Justice, Passengers, United, Delta, Antitrust Litigation, District of Columbia, Thomson Locations: U.S, Washington ,, New York
However, excluding volatile food and energy, the core CPI increased 0.3% and 4.3%, respectively, against estimates for 0.2% and 4.3%. Federal Reserve officials focus more on core as it provides a better indication of where inflation is heading over the long term. Inflation posted its biggest monthly increase this year in August as consumers faced higher prices on energy and a variety of other items. Food prices rose 0.2% while shelter costs, which make up about one-third of the CPI weighting, climbed 0.3%. Within shelter, the rent of primary residence index rose 0.5% and increased 7.8% from a year ago.
Persons: Dow Jones, airfares, Lisa Sturtevant, Sturtevant, paychecks, Andrew Hunter Organizations: Federal Reserve, U.S . Department of Labor, Transportation, Bright MLS, Treasury, Labor Department, Capital Economics, Group
CPI shows airfares bounced back in August
  + stars: | 2023-09-13 | by ( Seema Mody | ) www.cnbc.com   time to read: 1 min
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailCPI shows airfares bounced back in AugustCNBC’s Seema Mody joins 'Power Lunch' to report on the travel numbers in the CPI report.
Persons: airfares, CNBC’s Seema Mody Organizations: CPI
Goldman Sachs expects August headline CPI to rise 3.58% annually, up from July's 3.2% gain. Strategists wrote Monday they expect to key trends to emerge, including a 3.1% decline in used car prices. CarsThe strategists said used car prices should fall 3.1% in August from July, reflecting lower auction prices. Goldman Sachs estimates used car prices to fall in August. Shelter inflation will remain roughly at its current pace in August, Goldman Sachs says.
Persons: Goldman Sachs, Goldman Organizations: Service, Federal Reserve, Transportation Goldman, CPI Locations: Wall, Silicon
There are so many since wildfires killed 115 people in the historic town of Lahaina that Olsten is worried about a full-blown economic catastrophe. The day after the fire, the Hawaii Tourism Authority, a quasi-state agency, said visitors on “non-essential travel are being asked to leave Maui” and that "non-essential travel to Maui is strongly discouraged." People shouldn't go to Lahaina or the surrounding West Maui area — “It’s not a place to stare," Bissen said — but the rest of Maui needs tourists. The Hawaii Tourism Authority drafted and publicized a map showing Lahaina and West Maui in relation to the rest of the island, highlighting just how much was still open. It's not clear, however, when travel to West Maui will resume.
Persons: — Richie Olsten, Olsten, Mufi Hannemann, , Graeme Swain, Mara, Swain, Hali'imaile, , Gemma Alvior, they’re, “ Maui’s, Richard Bissen, shouldn't, Bissen, Jason Momoa, , Carl Bonham, It's, Bonham, ___ McAvoy Organizations: Airlines, Maui Helicopters, Air, Pilots, Hawaii Lodging & Tourism Association, University of Hawaii, Hollywood, Hawaii Tourism Authority, , Revenues Locations: KAHULUI, Hawaii, Lahaina, State, Maui, South Maui, San Diego, U.S, West Maui, Hollywood, , Manoa, Kaanapali, Honolulu
"Further progress is likely to become more difficult as base effects fade, and supply-constraints could drive global energy and food prices higher again." Brent crude prices have risen 27% since mid-year and U.S. crude is up 30%, with U.S. retail pump prices already up almost 10% so far since June. Oil and inflation expectationsReuters GraphicsSLOWING DESCENTAnd alongside creeping worries about rising debt supply, the long end of bond markets has been rattled again by the oil price jump. And this has been a far bigger influence on the inflation trajectory than oil prices per se. Yet, restive crude prices will still cloud a messy and tricky battle with inflation expectations just as policy tightening cycles near an end.
Persons: Brent that's, Christian Keller, Akash Utsav, Andrew Goodwin, there's, George H.W, Jamie Freed Organizations: Brent, UBS, Organization for Economic Cooperation, Development, Barclays, Federal Reserve, European Central Bank, Bank of England, U.S, Treasury, Oxford, Monetary Fund, Reuters Graphics Reuters, Reuters, Thomson Locations: Ukraine, Saudi Arabia, Russia, tailwind, U.S, Europe, Britain, West, George H.W . Bush
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