Jet Fuel Prices Jumped 6% Overnight—Expect High Airfares For The Holidays

0:00With renewed fighting in Iran and oil prices on the rise, airline CEOs and analysts are warning of higher airfares through the holiday season and into 2027. Amid a re-escalation of the Iran conflict, the price of jet fuel was$4.28 per gallon on Wednesday, up 6 % since Tuesday, and up 71 % since the war began. At$4.28 a gallon, jet fuel is running about$180 a barrel, implying a roughly$80 a barrel spread between the crude and refined fuel prices. That crack spread, a gauge for refinery profit margins, has more than tripled from around$23 before the war in Iran began. The average domestic fall airfare is up 39 % compared to last year, according to data from Hopper Technology Solutions.

0:52JetBlue said it expects to pay$3.96 per gallon for jet fuel in the third quarter, up from its prior forecast of$3.49. sense. Quote, oil prices are going to stay higher for longer and a peak is going to be harder to predict because what's driving it remains geopolitical tensions. Patrick DeHaan, head of petroleum analysis at GasBuddy told Forbes, according to second quarter earnings reports, the six largest U.S. airlines spent$8.35 billion more on jet fuel last quarter compared to 2025. Holiday travel tends to be booked at the last minute, but this year the lead economist at HTS, Haley Berg, recommends not waiting.

1:35Quote, fares are going to be very high compared to what we saw last year if the trend continues. For more on this story, check out the article at the link in the description.