Four of the largest U.S. airlines could face up to $11 billion in additional fuel costs this year, according to a report by the Financial Times, after choosing not to hedge against rising jet fuel prices triggered by the ongoing Iran conflict.
Jet fuel prices in the United States surged nearly 60 percent following the closure of the Strait of Hormuz, reaching $3.95 per gallon late last week, based on the Argus Aircraft Fuel Index, which tracks daily spot prices at major U.S. aviation hubs.
Although prices eased to $3.40 per gallon…