8/11/22 - Airline Ticket Prices Begin To Drop

Thursday, August 11, 2022 at 8:17 AM

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The latest inflation report from the government reflects that airlines are beginning to lower ticket prices.

-The national average for a gallon of gas is now under $4.00.

Air travelers got some welcome news Wednesday, as the federal government's inflation report, showed that airfares are coming down.

The price of the average airline ticket dropped 7.8% in July, to $311, after a 1.8% dip in June, according to the Consumer Price Index report.

Higher prices for gasoline and travel were big reasons that overall inflation slowed a bit in July, although consumer prices were still up 8.5% from a year ago.

Fares peaked in May, when sales for summer vacations were in full swing.

Prices usually fall in late summer and early fall as vacations end and children return to school.

Travel-data researcher Hopper, expects domestic U.S. fares to average $286 in August and remain at or below $300 until October, when many people book Thanksgiving and Christmas travel, and the demand begins to push prices back up.

Many carriers say that bookings remain strong.

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