Airfares in the U.S. fell 0.7% in February compared to a year ago on an unadjusted basis. Overall, core inflation was up 3.1% year-over-year during the month, which was slightly lower than the pace in January and below the expectation of analysts.

On a month-to-month comparison, airfares were down 4.0% in February after rising 1.2% in January and 3.0% in December, according to data compiled by the Bureau of Transportation Statistics. Airfares had increased in seven of the last seven months before the decline in February.

The airline sector has been rocked this week by a series of Q1 guidance cuts, headlined by Delta Air Lines (DAL). The company said its outlook has been impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in domestic demand. Meanwhile, American Airlines (AAL) warned that the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March. Recession fears have led to sharp s

Airline stocks: American Airlines (AAL), Delta Air Lines (DAL), Southwest Airlines (LUV), United Airlines (UAL), JetBlue Airways (JBLU), Alaska Air Group (ALK), Allegiant Travel (ALGT), Spirit Airlines (OTC:SAVEQ), Mesa Airlines (MESA), SkyWest (SKYW), Sun Country Airlines (SNCY), and Frontier Group (ULCC).