Inflation rose to 3.8% in April, driven largely by higher gas prices, while consumer confidence fell to a historic low.
Despite a spike in travel costs driven by geopolitical instability and rising fuel prices, consumer sentiment remained resilient.
California’s hotel industry posted another month of growth, outperforming the U.S. overall, with San Diego and Orange counties leading gains.
International travel faced challenges, however, as airlift from priority markets declined 9% and non-resident arrivals fell nearly 15%, impacted by geopolitical instability and seasonal travel timing. Japan was the only priority market to record growth in April.
Source: Visit California and third-party data sets