Holiday demand is expected to edge above last year as World Cup host cities and the U.S. 250th anniversary support bookings despite high airfares, gas prices and heat concerns.
AAA projects 72.2 million Americans will travel at least 50 miles from home between June 27 and July 5 for Independence Day, up from 71.8 million a year earlier, pointing to another record holiday period even as growth slows. The outlook suggests road and air travel will be little changed from last year, while travel by bus, train and cruise is expected to rise more sharply, with about 4.93 million Americans forecast to use those modes, up 5.3% year on year. Higher crude oil and jet fuel costs linked to war have lifted gas prices and airfares, while an expected heat wave may also affect decisions, testing consumer demand against the backdrop of the nation's 250th anniversary celebrations and the ongoing football World Cup. Major cities including New York, Chicago and Boston are drawing strong demand, and Washington, D.C., hotel bookings for the weekend are up fivefold from last year, with average room rates 35% higher, HotelPlanner said. World Cup knockout matches are also boosting host cities, with AirDNA reporting vacation rentals in Miami up 68% ahead of a match between Lionel Messi's Argentina and Cape Verde, while Texas is benefiting from FIFA matches in Dallas and Houston alongside anniversary celebrations and has logged the most RV bookings on RVshare's platform for the July 4 weekend.