U.S. Airlines Seen Trimming Guidance as Jet Fuel Costs Soar
- Invasion of Ukraine has sent fuel prices to highest since 2008
- Issue threatens demand recovery as coronavirus impact wanes
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U.S. airlines counting on rejuvenated demand for spring and summer travel as the coronavirus wanes now face a new setback as Russia’s attack on Ukraine pushes jet fuel prices to multiyear highs.
Carriers could reveal reductions in planned flying as they update financial guidance at industry conferences in the coming weeks, Conor Cunningham, an MKM Partners analyst, said in a note Friday. The blow may be softened as tightening supply makes it easier to boost fares, he said.