Originally Posted by
notEnuf
You have to look at the macro-economics of the dollar. The dollar is strong and oil is priced in dollars. As the dollar weakens oil rises. Conversely the strong dollar lessens the value of revenue from non-dollar ticket sales. As the dollar weakens oil production in the U.S. will recover.
Thanks for posting a civilized response to my question. I believe you are half correct. I agree that if the oil prices go up because the dollar gets weak, then it will benefit airlines in the form of more international travelers (due to weaker dollar). It's not perfectly correlated, but there will be some give and take there.
But if oil prices go up while the dollar remains strong (due to purely oil supply/demand), then we will suffer from a massive loss of profit, as stated in my original post.