Higher jet fuel prices expected to pressure airlines in 4Q
A surge in the price of jet fuel after weekend attacks at several Saudi Arabian oil facilities appears likely to pressure airlines’ margins in the 2019 Q4 and beyond, analysts said. The Sept 14 attacks on Saudi Arabia’s Abqaiq and Khurais fields knocked approximately 5.7m barrels per day of oil production offline. Saudi Arabian officials have indicated one-third of that amount can be brought back online within days, while full capacity may take weeks or months to return. The price of Brent Crude, the global benchmark, was last up 10.7% at US$66.60, after logging its largest intraday move in history. The sudden move comes against a backdrop of weak fuel price growth through the peak summer travel period, following a move down in prices in late May. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2019-09-17/general/higher-jet-fuel-prices-expected-to-pressure-airlines-in-4q
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Higher jet fuel prices expected to pressure airlines in 4Q
A surge in the price of jet fuel after weekend attacks at several Saudi Arabian oil facilities appears likely to pressure airlines’ margins in the 2019 Q4 and beyond, analysts said. The Sept 14 attacks on Saudi Arabia’s Abqaiq and Khurais fields knocked approximately 5.7m barrels per day of oil production offline. Saudi Arabian officials have indicated one-third of that amount can be brought back online within days, while full capacity may take weeks or months to return. The price of Brent Crude, the global benchmark, was last up 10.7% at US$66.60, after logging its largest intraday move in history. The sudden move comes against a backdrop of weak fuel price growth through the peak summer travel period, following a move down in prices in late May. <br/>
