Ryanair Warns Jet Fuel Could Reach $140 a Barrel This Winter, Cuts Capacity

According to Jin10, Ryanair cut winter capacity on Wednesday to reduce its exposure to unhedged jet fuel prices that could reach $140 a barrel. The airline said it has locked in about 80% of its jet fuel needs and expects the move to save 70 million to 100 million euros. Ryanair also said other airlines would face survival difficulties if jet fuel prices stay high, and that this would lead to a sharp rise in ticket prices on European short-haul routes next year. Carlyle Group senior adviser Jeff Currie warned investors weeks ago to watch the refined products market, saying the prices that matter are not crude oil but gasoline, diesel, and jet fuel.