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Companies that catered to middle and lower income shoppers said that higher food and gas prices cut into sales.
Surging oil prices cut into earnings at Air France-KLM in the first three months of the year.
Lower energy prices cut the cost of manufacturing and transport, lowering inflation rates and potentially encouraging more global economic output.
A family with three children travelling to the US would see their flight prices cut by £213, for example.
But auto companies do not expect consumers to pull back on spending as drastically as they did in 2008, when higher gas prices cut deeply into sales.
ECONOMISTS tend to think that an industry divided between hundreds of players, each with a tiny market share, should be fiercely competitive, with prices cut to the bone.
Similar(17)
The price cut paid off.
RUMOR #1: iPhone Price Cut.
Dodgers channel price cut gets tepid response.
(See Dow Ups Prices, Cuts Output).
Why the price cut?
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