Bizjet Market Reportedly Still Improving

The "gradual" business jet recovery that has been underway for the past few months--including a shrinking pre-owned inventory and "some positive signals from the new [aircraft] market"--continued in January. That's the word from JPMorgan Global Equity Research, which emphasized that "we still expect new jet demand to recover only very slowly." According to the research firm, pre-owned business jet inventory decreased again in January, to 12.5 percent of the active fleet, down from a 14.5-percent peak last July. Pre-owned prices appear to have bottomed in January since they were flat month-over-month, though they are 20 percent below year-ago levels, meaning it remains a buyer's market. Regarding new aircraft, JPMorgan said manufacturers "disclosed some demand firmness" in the fourth quarter, adding that the "market is still not out of the woods."