Global airline stocks fall on more jet fuel price concerns

[Passenger airplane flying above clouds during sunset]
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Global airline stocks fell on Monday after the U.S. indicated that it plans to blockade the Strait of Hormuz to further tighten supply. The U.S. Central Command posted Sunday that it will begin enforcing a maritime blockade on all traffic entering and exiting Iranian ports starting Monday at 10 a.m. ET.

Notably, European crude oil prices climbed to a record high near $150 a barrel, and the price of Brent crude futures for June delivery rose more than 6% to $100 a barrel. Wizz Air Holdings (WZZAF [https://seekingalpha.com/symbol/WZZAF]) was down more than 7%, and Deutsche Lufthansa AG (DLAKF [https://seekingalpha.com/symbol/DLAKF]) peeled off more than 6%. In the U.S., SkyWest (SKYW [https://seekingalpha.com/symbol/SKYW]) -7.2% and JetBlue Airways (JBLU [https://seekingalpha.com/symbol/JBLU]) -3.7% were the two biggest decliners. Of course, airline stocks usually fall when crude oil rises because jet fuel is one of their biggest costs, so higher oil prices can quickly squeeze profit. The airline industry has also moved broadly away from using hedging to lower jet fuel price risk.

GLOBAL AIRLINE STOCKS: Delta Air Lines (DAL [https://seekingalpha.com/symbol/DAL]), American Airlines (AAL [https://seekingalpha.com/symbol/AAL]), Lufthansa (DLAKY [https://seekingalpha.com/symbol/DLAKY]) (DLAKF [https://seekingalpha.com/symbol/DLAKF]), United Airlines (UAL [https://seekingalpha.com/symbol/UAL]), International Consolidated Airlines Group (ICAGY [https://seekingalpha.com/symbol/ICAGY]), Air France-KLM Group (AFLYY [https://seekingalpha.com/symbol/AFLYY]) (AFRAF [https://seekingalpha.com/symbol/AFRAF]), Southwest Airlines (LUV [https://seekingalpha.com/symbol/LUV]), Spirit Airlines (SAVEQ), Alaska Airlines (ALK [https://seekingalpha.com/symbol/ALK]), JetBlue Airways (JBLU [https://seekingalpha.com/symbol/JBLU]), Sun Country (SNCY [https://seekingalpha.com/symbol/SNCY]), Frontier Air Group (ULCC [https://seekingalpha.com/symbol/ULCC]), Hawaiian Airlines (HA), Skywest (SKYW [https://seekingalpha.com/symbol/SKYW]), Allegiant (ALGT [https://seekingalpha.com/symbol/ALGT]), Mesa Air Group (MESA), Air Canada (ACDVF [https://seekingalpha.com/symbol/ACDVF]), Wizz Air (WZZAF [https://seekingalpha.com/symbol/WZZAF]), easyJet (EJTTF [https://seekingalpha.com/symbol/EJTTF]), Ryanair (RYAAY [https://seekingalpha.com/symbol/RYAAY]), Republic Airways Holdings (RJET [https://seekingalpha.com/symbol/RJET]), SAS Group (SASDQ), Jet2 (DRTGF [https://seekingalpha.com/symbol/DRTGF]), KLM Royal Dutch Airlines (KLMR [https://seekingalpha.com/symbol/KLMR]), Aeroflot (AERZY), Aegean Airlines S.A. (AGZNF [https://seekingalpha.com/symbol/AGZNF]), Finnair (FNNNF [https://seekingalpha.com/symbol/FNNNF]), Norwegian Air (NWARF [https://seekingalpha.com/symbol/NWARF]), Air China (AIRYY [https://seekingalpha.com/symbol/AIRYY]) (AICAF [https://seekingalpha.com/symbol/AICAF]), Volaris (VLRS [https://seekingalpha.com/symbol/VLRS]), Copa Holdings (CPA [https://seekingalpha.com/symbol/CPA]), LATAM Airlines (LATAM), TUI AG (TUIF), China Eastern Airline (CHEAF [https://seekingalpha.com/symbol/CHEAF]), China Souhern Airlines (CHKIF [https://seekingalpha.com/symbol/CHKIF]), Cathay Pacific (CPCAY [https://seekingalpha.com/symbol/CPCAY]) (CPCAF [https://seekingalpha.com/symbol/CPCAF]), ANA Holdings (ALNPY [https://seekingalpha.com/symbol/ALNPY]), Japan Airlines (JPNRF [https://seekingalpha.com/symbol/JPNRF]) (JPNRF [https://seekingalpha.com/symbol/JPNRF]), El AL Israel Airlines (ELALF [https://seekingalpha.com/symbol/ELALF]), Singapore Airlines (SINGY [https://seekingalpha.com/symbol/SINGY]), Thai Airways (TAWNF [https://seekingalpha.com/symbol/TAWNF]), and Qantas Airways (QABSY [https://seekingalpha.com/symbol/QABSY]).

MORE ON THE AIRLINE SECTOR

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* 3 Market Segments I'm Targeting When Iran War Ends [https://seekingalpha.com/article/4884550-3-market-segments-im-targeting-when-iran-war-ends]
* Oil Above $100: Why Game Theory Suggests This Spike Won't Last [https://seekingalpha.com/article/4882335-oil-above-100-why-game-theory-suggests-this-spike-wont-last]
* Airlines cut global schedules as Iran-driven energy shock ripples into May [https://seekingalpha.com/news/4574230-airlines-cut-global-schedules-as-iran-driven-energy-shock-ripples-into-may]
* ETFs heavily allocated to Delta Air Lines go 'wheels up' after stock pops more than 10% [https://seekingalpha.com/news/4573297-etfs-heavily-allocated-to-delta-air-lines-go-wheels-up-after-stock-pops-more-than-10]