Amid surging travel demand, the airline industry officially asked the Federal Aviation Administration (FAA) to take steps to ensure the nation's airspace can handle the rise in air traffic.
According to Reuters, Airlines for America, a trade group representing major airlines including Delta Air Lines (DAL), United Airlines (UAL), American Airlines (AAL), and more, were called to answer for a spate of cancellations over Memorial Day weekend. In response, the group indicated the entire industry is “aggressively pursuing several options to align schedules with workforce availability.” However, per the report, Airlines for America suggested the FAA itself was to blame for a portion of the problematic cancellation trend.
Shares of numerous airline operators have traded in a volatile manner thus far in 2022 as optimistic demand outlooks are abated by rising fuel costs and capacity concerns. The US Global Jets ETF (NYSEARCA:JETS -1.8%) has fallen over 16% in just the past five trading sessions.