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Airlines expected to cut 2025 outlooks as travel demand falters

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Wall Street analysts have slashed their price targets for U.S. airlines and downgraded ratings.

Airlines are expected to cut 2025 outlooks when they report earnings starting this week .

Consumers had been willing to pay for travel and experiences over goods despite years of inflation.

Signs of lower international demand, in addition to weaker travel from Canada , are emerging.

Airline executives have said government travel has dried up during mass layoffs and other cost cuts.