Airlines Struggle with Soaring Fuel Costs

0:00On April 2nd, airlines are scrambling as fuel costs have doubled in just 5 weeks, with jet fuel hitting $200 a barrel. Their cancelling flights left and right, jacking up ticket prices, and slapping on fuel surcharges to stay afloat. Unlike back in 2008, when oil topped to $100, carriers see this as a short-term hit from the war, not some endless speculator, spike. Pricing tech has gotten slicker, booking window shorter so surcharges hide in fine print or dynamic fares. Travelers are feeling the squeeze, especially on long haul routes to Australia and Asia, where airlines nudge folks toward refunds to dodge losses, from priceier fuel, and closed airspace. Low-cost outfits get hammered hardest since fuel eats of half their budget, while legacy carriers deal with about 20%. Hedged players like Ryanair at 80% covered, or IAG and Lufthansa, hold steady for now, but unhedged ones like US lines are trimming 5. Banking of schedules and hiking fares, SAS acts to thousand flights, though Ireland's

1:02main carriers stay buffered short-term thanks to competition. Markets bet on a fix by August or September, with oil futures dipping towards $75 for next year, so expect prices to creep up, but no. Little meledown if the chaos cools off soon.