13.2 C
New York

May Consumer Price Index Report: Inflation Rises Again


Travel isn’t getting any cheaper.

Strong demand after two years of pandemic lockdowns and other aspects drove up already high airfare and hotel prices last month, with each reaching record highs.

Flight prices in May were up nearly 13 percent from the month before and almost 38 percent from May 2021. Hotel prices increased only barely from April to May, but were up 22 percent from a yr earlier.

The value of an overnight stay at a hotel, motel or other type of lodging away from home has risen relatively steadily over the past three many years, though it fluctuated when demand for travel was disrupted by the Sept. 11 terrorist attacks, the 2008 financial crisis and coronavirus pandemic.

Airfares have been more erratic, stagnating for years after the terrorist attacks in 2001. Ticket prices climbed steadily from 2009 to 2013, when prices peaked. Within the years that followed, though, fares slowly declined after which plunged when the pandemic took hold.

“In case you take a look at fares, while they’re up quite a bit from prepandemic lows, in real terms our fares within the second quarter are going to be back to about where they were in 2014,” Scott Kirby, the chief executive of United Airlines, said at an investor conference last week.

The typical price of a domestic round-trip flight is $403, up 33 percent compared with the identical time in 2019, in accordance with Hopper, a travel booking site. International trips are averaging $1039, up 17 percent from 2019.

Demand for flights is particularly high this yr because pandemic restrictions have been eliminated or eased in much of the country. Many individuals have also been desperate to shift their spending from goods to services after not traveling much within the last two years. Fares have also been driven higher by the rising cost of jet fuel. Airlines have also been cautious about adding too many flights this summer for fear that tight schedules would make it difficult to beat disruptions, causing a repeat of several disastrous episodes last summer and over the winter holidays.

Weekend getaways are especially popular this summer, as travelers take shorter trips than that they had before the pandemic, in accordance with Hopper. Inside the USA, Atlanta, Denver, Las Vegas, Los Angeles, Miami and San Juan, P.R., are popular weekend destinations. Popular international destinations include Cancun, Mexico; Mexico City; Vancouver, British Columbia; and Toronto.

Hopper found that fares for flights later in the summertime are generally a greater deal than those earlier within the season. Travelers can save greater than $100 each on the fee of a domestic flight and hotel stay in the event that they plan trips in late August quite than in June or July.

Get the latest Sports Updates (Soccer, NBA, NFL, Hockey, Racing, etc.) and Breaking News From the United States, United Kingdom, and all around the world.

Related articles


Recent articles