Anonymous22 days ago
The escalation of the U.S.-Israeli war on Iran and the closure of the Strait of Hormuz have sent jet fuel prices surging to as high as $200 per barrel, exposing the airline industry's decade-long retreat from fuel hedging as a catastrophic miscalculation. Major U.S. carriers — Delta, United, American, and Southwest — face a combined $5.8 billion in additional fuel costs with no hedging protection, while even European airlines with hedge coverage are finding their crude oil-based contracts inadequate as the crack spread between crude and jet fuel has exploded to unprecedented levels.