U.S. Airfares Are Up 22% and Still Rising: Why Holiday Travel Will Cost a Lot More in 2026

Travellers check in for flights at Los Angeles International Airport (LAX) in Los Angeles, California, on October 23, 2026. US consumer inflation was hotter than anticipated in September, government data showed on October 14, as Washington's continued war with Tehran pushed energy costs higher, deepening strains on American households ahead of next month's midterm elections. High gasoline and diesel prices drove about half of the September spike in inflation, "it's starting to spill into other areas," said Heather Long, chief economist at the Navy Federal Credit Union. "Airfares, used cars and recreation all had big price jumps." (Credit: Photo by Caroline Brehman / AFP via Getty Images)

The Briefing

• U.S. airfares jumped 22.4% in September 2026 compared to the same month a year earlier — more than six times the 3.7% rate of overall consumer inflation — marking the sharpest annual increase in airline fares in recent memory.
• Gulf Coast jet fuel is trading near $4.75 per gallon, roughly double what airlines paid twelve months ago, driven by a disruption in Middle Eastern oil supply after the U.S.-Iran war began in late February 2026.
• Thanksgiving domestic fares are averaging $402, up 31% year over year; Christmas tickets are averaging $452, up 23% — both figures represent ten-year highs, according to Hopper's 2026 Holiday Travel Index.