Destination

EasyJet shares soared 10% on a $7.3 billion Castlelake takeover, the same week four of the six largest US airlines raised checked bag fees citing Iran-war fuel costs. Meanwhile record heat is driving an unlikely offseason international travel boom. Here’s how airlines are passing costs to travelers in every direction.

Jet fuel prices are falling, but airfares aren’t following, as airline executives point to labor costs and reduced budget-carrier capacity as the new drivers of pricing. Meanwhile Spirit’s collapse and Ryanair’s warnings suggest the ultra-low-cost airline model is running out of runway. Here’s what it means for travelers.