13 SEP 2018: An RBC survey says airfares rose by more than 10 percent in the first two months of the third quarter as Air Canada and WestJet passed along higher crude oil prices.  The country's two largest airlines implemented fare increases in July, mostly on domestic routes.

Despite slipping a bit in August, fares rose 12.5 percent at Air Canada for July and August and were 11.3 percent higher than a year earlier at WestJet.

Analyst Walter Spracklin says he expects fares will increase further, with Air Canada likely being more aggressive in passing along oil price increases.

He says Calgary-based WestJet is likely still recovering from weak booking levels resulting from the threat of a pilot strike.

Passenger traffic remains strong with WestJet reporting 8.1 percent growth in August, less than the capacity growth of 10 percent.

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