many thought that one reason for the oil price rising was because of the weakness of the us $ and if the us $ strengthened the oil price would fall relative to it.
but i see it differently.
if the us $ strengthens it's because the us economy is getting stronger which means higher demand for oil and thus a further strengthening of the oil price.
if the us $ strengthens and oil prices strengthen also then this will be a double whammy for airlines.
qantas and vb are exposed to the us $ big time and oil also.
a perfect storm scenario and not good for the outlook of vb particularly.
cheers
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