RE:RE:Re earningsOTB..I fully agree with your analysis if your assumptions regarding future growth in world economies continues to be strong and inflation in that environment remains below those levels that will keep interest rates low..in my opinion an unlikely scenario.. the US Fed will certainly hike rates in Dec and in all probability, given recent comments by Fed members, continue to do so in 2019.. the accommodative Fed over the past 8 to 9 years is becoming more hawkish in it's monetary policy and the market is currently in the process of trying to get a handle on what it will mean for earnings growth...a higher interest rate environment is inevitable and given public debt levels, Canada being $1.60 per $1.00 income, discretionary income will certainly be significantly lower...
Agreed, Air Canada has certainly reduced it's costs however equally important perhaps even more important will be a reduction in the disposable income of the debt laden public