American Airlines Group Inc. ( AAL ) shares fell during Thursday's premarket session. The decline mirrors a broader retreat across the airline industry.

Traders are reacting to surging energy costs and prolonged geopolitical instability.

Crude Oil Prices Surge Amid Conflict

Global energy prices spiked Thursday morning. Brent crude topped $100 per barrel, while WTI futures approached $95. According to Trading Economics, concerns over the U.S.-Iran war are overshadowing supply stabilization efforts.

Fuel remains a primary variable expense for carriers. Veteran trader Peter Brandt recently warned on X, "If Crude Oil does what the chart indicates might be possible, then airlines are headed for a world of hurt."

Middle East Disruptions Impact Operations

The conflict has caused logistical hurdles. The Kobeissi Letter reported on X that global flight cancellations to the Middle East exceeded 23,000 as of March 8 since, Feb 28. These disruptions have cost the industry nearly $1 billion.

The carrier recently amended its credit facilities to increase revolving commitments to $3.11 billion.

Geopolitical Tensions Weigh on Sentiment

The U.S.-Iran war has entered its thirteenth day. Despite claims of victory from the Trump administration, regional instability remains high.

Technical Analysis

American Airlines ( AAL ) stock is trading 15.9% below its 20-day simple moving average (SMA) and 22.1% below its 100-day SMA, showing that the intermediate trend is still pointed down.

Shares are up 1.01% over the past 12 months, but they're currently positioned closer to their 52-week low than their high.

Key Resistance: $12.00

Key Support: $8.50

AAL Stock Price Activity: American Airlines Group ( AAL ) shares were down 1.18% at $10.91 during premarket trading on Thursday, according to Benzinga Pro data.

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