UPDATE 1-More Americans to travel this Labor Day weekend -AAA

Tue Aug 21, 2012 10:09pm IST

(Adds Tuesday gasoline prices)

NEW YORK Aug 21 (Reuters) - More American travelers will take to the road this Labor Day weekend as consumer confidence remains intact despite the sluggish economy and high gasoline prices, travel group AAA said on Tuesday.

AAA expects 33 million Americans will either drive or fly over the holiday weekend between Aug. 30 and Sept. 3. This is the largest number of travelers since 2008 and up 2.9 percent from a year earlier.

About 28.2 million motorists will drive to their destinations, a 3.1 percent increase from last year's levels. And 2.55 million will fly to their vacation, up 3.7 percent from a year earlier, AAA added.

(Graphic: link.reuters.com/tak22t )

"In the absence of strong economic growth ... it is an encouraging sign that Americans continue to prioritize travel," Bill Sutherland, vice president of AAA Travel Services said in a statement.

The forecast, based on a survey of 50,000 U.S. households, found that 66 percent of respondents do not expect their current financial situation to have a negative bearing on their Labor Day weekend plans.

Motorists will continue to take a hit at the pump, however. Gasoline sold for an average $3.71 a gallon on Tuesday, 4 percent higher than a year ago. Prices had reached the highest level for Aug. 20 according to AAA's records at $3.72 a gallon on Monday and the group expects costs to remain high over the next few weeks.

Costs at the pump have prompted policymakers to consider a response, with the White House saying a release from the country's Strategic Petroleum Reserve is under consideration. (Reporting by Selam Gebrekidan; Editing by Tim Dobbyn)

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Economy

REUTERS SHOWCASE

Pharma Sector

Pharma Sector

In race for bigger margins, drug makers willing to lose the India "advantage".  Full Article 

Jan Dhan Yojna

Jan Dhan Yojna

Modi: Banking for all to end "financial untouchability".  Full Article 

Power Outage

Power Outage

India may face blackouts as coal shortage cuts power output  Full Article 

Moody's on Inflation

Moody's on Inflation

Persistent inflation hurting India's sovereign ratings - Moody's  Full Article 

Tracking Monsoon

Tracking Monsoon

Monsoon forecast to be better for crops next week  Full Article 

Carmichael Project

Carmichael Project

Adani buys Australia coal mine royalty rights from Linc for $145 million  Full Article 

GDP Preview

GDP Preview

Economy likely grew faster in June quarter: Reuters poll.  Full Article 

India-Japan Meet

India-Japan Meet

Modi eyes breakthrough nuclear pact on Japan trip   Full Article 

Rare Earth Output

Rare Earth Output

India to chip in with 5 pct of global rare earth output  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage