U.S. airlines are hiking fares — and travelers keep booking

U.S. airlines have reported that the Iran war is adding more than $6 billion and counting to their costs this year. But JetBlue and major carriers this month told Wall Street that they expect customers to cover the higher jet fuel costs by early 2027, if not the end of this year. Carriers have trimmed capacity to cut costs, which also can boost airfare.JetBlue on Tuesday forecast second-quarter revenue would increase as much as 11% from a year earlier even as Geraghty called the war's impact the industry's biggest headwind since the Covid pandemic.American Airlines on Thursday said it expects an increase of 13.5% to 16.5% in revenue for the second quarter."We've always been really sharp in terms of managing our load factors, and we see our loads keeping pace with the capacity adds,"…

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