- Nervous trading surrounds airline stocks even with oil prices reaching new lows. There was also some data released today on fares.
- Airline fares fell 1.1% M/M in December as promotional activity increased in key markets, according to the Bureau of Labor Statistics.
- The average fare in December was 3.0% lower than the level from a year ago on an unadjusted basis.
- There's been reports from industry watchers that fares have moved lower in January as carriers scrap for market share.
- Early reports from Delta and Spirit on Q4 results were strong, but the sector is sharply lower on overriding macro concerns: Southwest Airlines (LUV -4.3%), United Continental (UAL -5.1%), Delta Air Lines (DAL -4.6%), American Airlines Group (AAL -4.7%), JetBlue (JBLU -2.5%), Alaska Air Group (ALK -2.9%), Hawaiian Holdings (HA -5.7%), Spirit Airlines (SAVE +1.9%), Allegiant Travel (ALGT -0.3%), Republic Airways (RJET -6.5%), Virgin America (VA -3.4%), SkyWest (SKYW -5.8%).
- Related ETF: JETS.
- BLS CPI data