The Airline Sector is Doomed

3/13 - "Jet Fuel has increased 24.2% in the last month and 67.9% in the last year, so it's time to short the industry and long the few stocks that will survive...JPMorgan analyst Jaime Baker cut his ratings on seven major airline stocks, blaming uncertainty over the outcome of the proposed Delta-Northwest Airlines combination and forecasting major losses amid fears of a recession."

"American Airlines parent AMR Corp., Northwest Airlines Corp., Alaska Air Group Inc., US Airways Group Inc. and United Airlines parent UAL Corp. were all downgraded from "Overweight" to "Underweight."...Baker also downgraded Continental Airlines Inc. and Delta Air Lines Inc. from "Overweight" to "Neutral." His ratings for low-cost carriers, such as Southwest Airlines Co. and AirTran Holdings Inc., remained unchanged."