Slower Domestic-Capacity Growth Positive for Qantas - Macquarie

        0351 GMT [Dow Jones] A prolonged, costly price war between Qantas (QAN.AU) and Virgin Australia (VAH.AU) is abating--good news for Qantas, Macquarie says which keeps its Outperform rating and A$1.65 target price after Qantas says it will temporarily stop adding domestic capacity in the September quarter. "This is in line with our view that lack of capacity guidance from either carrier was pointing toward an end of the capacity war," Macquarie says. Slower capacity growth should be positive for yields in the medium term with the cost-out story at Qantas increasing momentum." Qantas is last down 1% at A$1.23. (david.rogers@wsj.com; Twitter: @DRWSJ)
        (END) Dow Jones Newswires

        May 20, 2014 23:51 ET (03:51 GMT)