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Monday, August 3, 2026

Why flights are so expensive and will likely stay that way

by marketdash
0 comments

Wherever volatile fuel prices head this year, don’t expect bargain flights.

Airfare in the U.S. in June was up 26.5% compared with a year earlier, according to the latest federal data.

Airline leaders say customers continue to book even after carriers hiked fares. They told Wall Street analysts this month that they’re expecting to hold onto that pricing power at least through the rest of the year, if not longer.

Traveler Marjorie Aran said she and her husband paid a combined $800 to go from New York to Chicago in economy on United Airlines this week to visit their daughter.

“We used to go to Chicago for a couple of hundred dollars,” she said. Asked if she would skip a trip because of the fares she said no. “We can afford it.”

Airlines are betting that stays true for millions of consumers.

The average Southwest one-way fare, for example, was $225.61 in the second quarter, up from $186.65 during the same span of 2025.

“Despite high fuel…

Read more…

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