Persistent macroeconomic headwinds and soaring recessionary concerns have slowed down consumer discretionary spending, which includes travel. Amid such a scenario, the cruise line industry could be under significant pressure. Given this backdrop, Royal Caribbean Cruises Ltd. (RCL) and Carnival Corporation & plc (CCL) could be avoided in 2023 for reasons mentioned throughout the article.
Although consumer prices rose 6% annually, well below the 9.1% peak in June 2022, inflation remains far above the Fed’s target range of 2%. The inflation pressure remains anchored in much of the economy and is still a cause of concern for some Americans.
