Qantas Stock Rips Higher On The Back Of Falling Oil Prices

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Qantas shares have jumped almost 7% on the back of falling oil prices.

Oil feel through $70 a barrel as OPEC producers decided to keep pumping out oil at current levels.

Jet fuel is a major cost for airlines and some estimates give Qantas an extra $36 million before tax profit for every $1 a barrel fall in the price of oil.

Qantas today also announced a series of good passenger and yield numbers.

Passenger numbers for October were 1.6% higher and revenue per passenger increased by 2.9%, resulting in a revenue seat factor of 80.1%, about 2.4 percentage points higher than the previous year.

The Qantas share price is up 10% this week and 50% since mid October.

Here’s the latest price:

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