Airlines Protect Fare Power as Travel Demand Holds

Travel demand stayed resilient, but airlines used scarce peak capacity to protect elevated fares while travelers shifted toward cheaper options and package holidays. Saudi tourism also exposed a supply challenge, as domestic ambitions and visitor targets drove plans to add rooms across luxury and mid-scale segments.

Air travel faced two further pressures: ownership uncertainty at EasyJet and operational risk from Europe's planned biometric border system. Capacity and execution, rather than demand alone, became the week's central constraints.