Airlines Issue Stern Warnings Amid Economic Uncertainty
Major U.S. airlines, including Delta and American Airlines, are sounding the alarm about a significant decline in domestic travel demand as economic concerns grow. Airline CEOs have reported a noticeable slowdown in consumer spending, prompting several carriers to cut their profit forecasts. Delta has drastically lowered its earnings outlook by up to 70%, citing reduced consumer confidence and safety fears, contributing to a broader selloff in travel-related stocks. With recession fears looming and a decrease in travel demand observed, airline executives are raising red flags about the implications for the industry, indicating a challenging environment ahead.
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