International Consolidated Airlines Group (IAG) shares fell 2.6% on Thursday, reaching their lowest level since mid-September. Brent crude, the global oil benchmark, rose to more than $104 per barrel.
The oil price surge was reportedly linked to ongoing geopolitical tensions in the Middle East. It has raised investor concerns about higher jet fuel costs, a significant operating expense for airlines.
Analysts noted that IAG shares fell below their 50-day moving average. Some said the decline could continue if the share price breaks below key support levels.