The rise of power for the dollar has helped airlines with fuel pricing. Today, (as of this morning), the price per barrel dropped $2.40, and it even managed to be as low as $142.01. Hopefully the dollar will continue to gain strength after losing so much power to other currencies, such as the Euro, in the past few years. Yet I do not think that a stronger dollar will do too much / help lower oil prices for Airlines in the long run. As of now, most American airline stocks have risen, up 1.87% or .28.
I think Ex-American Airlines CEO Robert Crandall said it best, “I’ve never invested in any airline. I’m an airline manager. I don’t invest in airlines. And I always said to the employees of American, ‘This is not an appropriate investment. It’s a great place to work and it’s a great company that does important work. But airlines are not an investment.’ A lot of people came into the airline business. Most of them promptly exited, minus their money.”
