Aviation stocks like Jet AIrways, Kingfisher and SpiceJet took off by 1.5-2% each as the state-owned oil companies slashed down jet fuel prices by a marginal Rs 350 per kilolitre, the second reduction in this month.This reduction comes on back of a 3% cut in rates effected from February 1.
Jet fuel which is directly linked to crude oil price constitutes nearly 50% of the airlines operating cost. Also, this move will help ease the burden on cash-strapped airlines.
Among airline shares, Jet Airways gained 2.6% to Rs 346, Kingfisher Airlines added 2.6% to RS 27 and Spicejet was up 1.6% at Rs 25.