Gas prices going down

[DisMN]

I'm seeing news reports that over the next few months gas prices will be headed downward.

At some point I would expect this to be reflected in flight prices.......or am I out of touch with how these things work now days? LOL

 

[FrankWDW]

I'm seeing news reports that over the next few months gas prices will be headed downward.

At some point I would expect this to be reflected in flight prices.......or am I out of touch with how these things work now days? LOL

The prices of flights probably won't fall too much. Companies generally like to pocket the extra income. I am pretty happy about the gas prices coming down (although it'd be nice to be back in the $2.xx range)...it will mean that we will only have to spend $400 on gas instead of $500 to drive to Disney and back!

 

[kydisneyfans]

There's no guarantee that gas prices are going to drop either, ours went up .22 a gallon yesterday.

 

[scassin]

Wish UK fuel prices going down we are at $8.85 per gallon now again and rising that y we love US it so cheap

 

[jlewisinsyr]

Unlikely it will have any impact and personally, I'd rather see the airlines keep prices the same to help offset some of their other costs and a demand level that is softening slightly.

 

[boufa]

Airlines are unlikely to lower prices. In the US the authorization for the FAA has expired, and the air traffic controllers are running on a special exemption. As part of the FAA technically no longer existing, the taxes added to airline tickets also are no longer in effect.

Sounds like a great chance to buy a flight... NOPE, the airlines raised the ticket prices to account for the lower taxes. So the elimination of the FAA is a huge boom for the airline industry. Out of pocket cost to the individual has not changed.

It is expected that eventually (likely in September) the FAA will be re-authorized by Congress and everything will return to normal. Until then the airlines are making a killing.

 

[soxfan11901]

Airlines are unlikely to lower prices. In the US the authorization for the FAA has expired, and the air traffic controllers are running on a special exemption. As part of the FAA technically no longer existing, the taxes added to airline tickets also are no longer in effect.

Sounds like a great chance to buy a flight... NOPE, the airlines raised the ticket prices to account for the lower taxes. So the elimination of the FAA is a huge boom for the airline industry. Out of pocket cost to the individual has not changed.

It is expected that eventually (likely in September) the FAA will be re-authorized by Congress and everything will return to normal. Until then the airlines are making a killing.

uhhhh......taxes were reinstated on Aug. 8.

Will the airlines lower rates because fuel goes down? No. Why? Because they can not raise fares as high as they need to when fuel is high. They need to make as much profit as they can when they have the opportunity so they can build up a substantial cash reserve. Then when they are losing money they can better weather the storm.
Airlines historically do not make money. They are a break even industry at best.

 

[corster]

If demand remains rising or static, airlines will keep fares where they are.

If demand drops, fares will drop too. Pretty simple economics.