While capacity growth on international routes has been generally keeping pace with traffic this year, a few worrying signs are emerging on the supply front, according to the International Air Transport Association. Through the first half of the year, passenger capacity returned “at a rate more or less matching the expansion in demand,” IATA says in its latest financial report. But in June, international capacity rose at a faster rate than demand—increasing 10% year-on-year versus a 6% ...

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