Low-cost carriers hit hardest by US travel demand slump
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Low-cost carriers hit hardest by US travel demand slump
By Rajesh Kumar SinghCHICAGO (Reuters) -A slump in travel demand due to President Donald Trump's trade war has left all U.S. airlines reeling, but the pain is most acute at budget carriers.Southwest, Frontier and JetBlue all saw sharp declines in their operating margins in the first quarter. In comparison, margins at Delta and United Airlines held up, despite faltering consumer demand.As the odds of slower economic growth and higher inflation rise, the margin gap between budget and full-service airlines is expected to widen further. This will potentially mark a shift from previous downturns, when low-cost airlines led by Southwest outperformed ..