finance
Jet Fuel Prices Rise After Iran Conflict
The ongoing war with Iran and blockade of the Strait of Hormuz have disrupted global energy supplies, pushing Brent crude to average $100 per barrel since late February. Refiners have prioritized jet fuel production, reducing output of gasoline and diesel. JPMorgan analysts warned Friday that U.S.
May 8, 5:23 PM·2m read2 sources
New York PostAudio version
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The war with Iran and the resulting blockade of the Strait of Hormuz have sent jet fuel costs soaring, prompting airlines to raise ticket prices and fees while contributing to broader increases in gasoline prices. Brent crude oil has averaged roughly $100 a barrel since the conflict broke out in late February.
Refiners have focused production on jet fuel amid the supply disruptions, deprioritizing gasoline and diesel. 55 a gallon as of Friday, according to AAA, a 52% increase from pre-war levels. JPMorgan analysts led by Natasha Kaneva warned Friday that the jet fuel crisis sparked by the Iran war’s energy supply disruption makes the prospect of gasoline hitting $5 a gallon increasingly likely.
“The timing could hardly be worse,” the JPMorgan note said. ” Over the weekend higher jet fuel costs sent Spirit Airlines out of business. Airlines have warned that added jet fuel expenses could force further increases in ticket prices and checked bag fees.
2, according to a University of Michigan survey released Friday. 7% from a year earlier. 7. Joanne Hsu, director of the consumer survey, said in a statement that about one-third of consumers spontaneously mentioned gasoline prices and about 30% mentioned tariffs.
“Taken together, consumers continue to feel buffeted by cost pressures, led by soaring prices at the pump,” Hsu added. Middle East developments are unlikely to meaningfully boost sentiment until supply disruptions have been fully resolved and energy prices fall, according to the survey.
NPR examined the viability of sustainable aviation fuel and other alternatives as jet fuel prices remain elevated. The Strait of Hormuz carries about 20% of the world’s oil supply, and damage to Middle Eastern facilities threatens to keep energy prices higher for longer.
Refiners are eager to increase jet fuel output, but that typically results in less diesel and creates a ripple effect that could further pressure gasoline supplies, the JPMorgan analysts wrote. " — JPMorgan analysts, May 9, 2026 (New York Post) The blockade has limited global energy trade and hit jet fuel particularly hard among refined products.
