Is the post Great Recession recovery in the U.S. hotel industry nearing an end? Investors have gotten two hints recently that the industry, which has enjoyed strong growth in occupancy and average daily rates the past two years, may be cooling. Ratings agency Fitch released a rather damning report on the industry this week citing weak U.S. economic conditions and rising capacity, which could depress average daily rates for hotel operators such as Marriott (MAR) and Hyatt (H) starting in 2017. 'The U.S. lodging industry is in the twilight of the current upcycle - lodging fundamentals are softening and revenue per available room (RevPAR) growth is decelerating, with 2016 likely to come in at (or possibly below) the low end of our four to five percent estimate,' said Fitch, adding, 'Supply is growing, but is restrained by available capital.' TheStreet's Brian Sozzi reports from Wall Street.
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