Shares of listed airlines IndiGo and SpiceJet gained up to 5.4 per cent after the central government cut air turbine fuel (ATF) rates

The ATF prices have been cut to Rs 87,597 per kg in Delhi, down from Rs 93,480 per kg earlier. The price reduction will help ease the burden on airlines for whom fuel makes up 40% of the airlines’ operating costs.

The cost of jet fuel is now at the lowest level since April 2024, and jet fuel accounts for nearly 40 percent of the total expense for domestic airlines

Boosted by the slash in jet fuel prices, shares of SpiceJet surged as much as 5.97% to ₹67.50 apiece on the BSE, while the market capitalisation (m-cap) climbed to ₹8,649 crore. The counter witnessed strong volume as 3.5 crore shares changed hands over the counter as compared to two-week average volume of 2.31 crore stocks.