We are witnessing a historic surge in jet fuel prices:
The International Energy Agency now warns Europe has just ~6 weeks of jet fuel supply remaining amid the Iran war.
Airlines are already preparing for potential flight cancellations as supply disruptions worsen.
Jet fuel prices have surged nearly +100% since the war began, approaching levels last seen during the peak of the 2022 energy crisis.
Meanwhile, the shutdown of the Strait of Hormuz has removed a key artery for global oil flows, which typically accounts for ~20% of global supply.
Europe relies on the Middle East for ~75% of its jet fuel imports, leaving the region highly exposed to prolonged disruptions.
As a result, inventories are rapidly declining while demand is heading into peak summer travel season.
The European aviation system is facing a major supply shock.
