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Investors flee airlines as traffic weakens, fuel surcharges fall

Analysis

Airline share prices suffered yesterday in Asia as optimism over China's economic stimulus package faded and investors focused on the risks to regional growth. The sell-off comes as dozens of Asia Pacific airlines reduce their fuel surcharges. More will be compelled to follow suit as oil prices crashed below USD60 per barrel in New York overnight for the first time in 21 months.

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