News
Moody's has said that its outlook for the global shipping industry in 2017 is negative, reflecting continued oversupply and a 7-10% decline in EBITDA. Dry bulk freight rates will remain low due to subdued demand, though deferred vessel deliveries, cancellation and scrapping will help curb net capacity growth, the research and rating company said.
Moody's outlook for the global airline industry is stable. Operating margin is expected to come in at around 9.5%, while operating profit will decline by about 11%. U.S. airlines will see a 20% contraction in operating profit due mainly to increased labor costs, while Latin American carriers will see an 80% expansion on the back of improving economic activity and capacity discipline, Moody predicted.
