(Reuters) - Airline shares fell broadly on Tuesday, with US Airways Group's stock leading the decline, as the price of oil rallied, which directly influences the cost of jet fuel.
US Airways shares plummeted 10.4 percent to $7.97 on the New York Stock Exchange. Shares of United Continental Holdings
U.S. crude oil futures rose $1.52 to $104.76 after trading beyond $105 for the first time since May 2011. The gains followed news on Monday that Iran halted exports to British and French companies ahead of a European Union embargo.
Jet fuel is one of the highest costs for airlines. US Airways, which does hedge its fuel consumption to offset shocks, is more vulnerable than rivals to price spikes, said Basili Alukos, an airline analyst at Morningstar.
The airline industry has been struggling to maintain stability after a years-long downturn that was exacerbated by volatile fuel prices.
(Reporting By Kyle Peterson; Editing by Maureen Bavdek)
Relacionados
- Nieve y bajas temperaturas en los últimos días de la ola de frío polar
- El frío polar arrecia durante el fin de semana en gran parte de Europa
- Italia se prepara ante la llegada de un frente polar este fin de semana
- Europa bajo cero y en alerta por un nuevo frente de frío polar
- Italia se prepara ante la llegada de un frente polar este fin de semana
