Airlines Look To Increase Prices As Fuel Expenses Rise Due To War With Iran

The war with Iran is driving up oil prices, and the impact is now reaching the airline industry.

Analysts say rising jet fuel costs are forcing carriers to raise ticket prices, meaning travelers could soon feel the effects when booking flights.

CBS MoneyWatch reporter Megan Cerullo says “What you’re seeing is a reflection of the fact that airlines are highly exposed to the war in Iran. We know that because the Strait of Hormuz is effectively closed, oil prices have skyrocketed, and after personnel costs, jet fuel costs are the second largest bucket of expenses for airlines. And so what they’re doing is they’re passing through some of the price increases onto consumers.”