In early 2026, flight prices have seen sudden spikes due to a "perfect storm" of economic and operational factors. Supply and demand remains the primary driver; as global travel continues to break post-pandemic records, the available "seat capacity" has not kept pace. Airlines are struggling with a persistent shortage of aircraft due to manufacturing delays at Boeing and Airbus, as well as engine maintenance issues that have grounded parts of fleets like IndiGo's. Additionally, jet fuel prices have remained volatile due to geopolitical tensions, and labor costs have risen as pilots and crew secured record-breaking new contracts. Inflation has also seeped into every part of airport operations, from catering to landing fees. In specific markets like India, regulatory caps being lifted and individual airline "schedule meltdowns" (such as the operational cuts seen at IndiGo) have further squeezed capacity, allowing remaining airlines to charge a premium for the limited seats available during peak seasons.