US airlines spent $1.8 billion more on fuel in March as prices jumped

Major U.S. airlines spent just over $5 billion on jet fuel in March, up 56% and $1.8 billion from February, according to the U.S. Transportation Department. The sharp month-over-month increase indicates materially higher operating costs for carriers, driven by fuel expense inflation. The update is informative for airline margin assumptions but is unlikely to move the broader market materially.

Analysis

Major U.S. airlines spent just over $5 billion on jet fuel in March, up 56% and $1.8 billion from February, according to the U.S. Transportation Department. The sharp month-over-month increase indicates materially higher operating costs for carriers, driven by fuel expense inflation. The update is informative for airline margin assumptions but is unlikely to move the broader market materially.