Airline stocks have taken an absolute beating with the high oil price. It is now safe to be a perma-bear on the airlines. To us, this is just when a trade starts to get interesting-when everyone else is on the other side. The trouble with being an airline these days is that it’s a really bad business. You have high capital costs, high energy costs, long-term contracts with unions, and lots of competition. Many airlines will go out of business the longer the oil price stays high. At least there will be less competition.
June 19th, 2008 | Dan Denning | 2 comments | Continued Our DR Global Editions: 
Friday, December 05th, 2008
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The Markets
All Ordinaries Id 3451.90 -16.20
S & P/asx 200 3516.30 -16.10
Nzx 50 Index Gros 2730.19 -0.49
DJIA 8376.24 -215.45
NASDAQ 1445.56 -46.82
S&P 500 845.22 -25.52
Ftse 100 4163.61 -6.35
2008-12-05 20:30 Most Comments
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At this point, who gives a s---. They've messed up everything. if money destroys itself, people will still ...
Mireille | 5Dec08 | More -
"There is no shame in going bankrupt. There is only shame in being owed money by a bankrupt": ...
Coffee Addict | 4Dec08 | More -
Chris (if you read this) T.Boone's book may make an interesting Christmas pressie. Clearly, LNG and LPG will ...
Coffee Addict | 4Dec08 | More -
Well, first we have to realise that the boom cycle is very long, eg the last one in US lasted ...
Kanwaldeep | 4Dec08 | More -
From everything I understand Hal gold has been artificially devalued and the final control mechanism to be used will be ...
Drew | 4Dec08 | More -
Don't hold back now,say what you really think.
Dennis | 4Dec08 | More -
Nothing to get too worked up about regarding commercial real estate. I suspect the "bears" will drag out the usual ...
Greg Atkinson | 4Dec08 | More -
So now these sick bastards are buying their own bonds to force down the yields. No wonder the Chinese Sovereign ...
GaryB | 4Dec08 | More -
The cause of all of this in one short phrase:
A corrupt legal system.
Jon Bain | 4Dec08 | More -
Maybe investment in shares in the companies that make the ink and paper and of course the spares, for the ...
Charles Norville | 4Dec08 | More
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At this point, who gives a s---. They've messed up everything. if money destroys itself, people will still ...
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