Tips For 2015 On Identifying Important Aspects In Cheap Flights

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The August reading followed the 4.6% year-over-year decline in July. The fall in average airfares in the U.S. for Jul 2016 was the sharpest in over a year. According to research firm Hopper, airfares (domestic roundtrip) had declined to $219 in August. The firm predicts that domestic airfares will continue to nosedive over the next six months, hitting a low of $210 in January. Are Low Fuel Costs and Capacity Overexpansion to be Blamed? Oil prices are hovering around the $44 a barrel mark. Although, crude has recovered from the 12-year low of around $26 per barrel it slipped to this February, it is nowhere near the above $100 a barrel mark witnessed in mid-2014. Soft oil prices are being cited as one of the main reasons for declining airfares. According to Hopper, jet fuel had declined in August to around $1.25 per gallon. Apart from cheap oil, capacity overexpansion is being viewed as another major reason for falling airfares.

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