Oil prices hit USD60 per barrel, airlines ponder fuel surcharges

After the bad news, now for the bad news - oil prices traded above USD60 per barrel yesterday for the first time in six months. A weak US dollar drove yesterday's spike, softening the impact a little. But increasing "green shoot" commentary on the global economy has also driven prices higher. This in turn is causing renewed speculation over higher prices, which become self-fulfilling. A sustained period of oil above USD60 per barrel would threaten the LCC segment, and throw the full service segment into further disarray.