United Airlines Cuts Flights as CEO Forecasts Oil Above $100 Through 2027

United Airlines is reducing its flight schedule over the next two quarters to mitigate surging fuel costs, as CEO Scott Kirby forecasts oil prices remaining above $100 per barrel through 2027. Meanwhile, Southwest Airlines is grappling with significant financial pressure after deciding to abandon its fuel hedging program just as energy prices spiked. This strategic shift leaves Southwest fully exposed to the oil rally, contrasting with industry efforts to shield profit margins from volatility. While travel demand remains robust, the combination of high energy costs and hedging missteps poses major operational challenges for the aviation sector. These developments highlight the differing approaches carriers are taking to navigate a long-term high-cost energy environment. Ultimately, the sector remains highly sensitive to geopolitical tensions in Iran and their direct impact on global jet fuel supplies.