Global Air Travel Disrupted by US-Israel-Iran Conflict

Market Impact

Shares of Qantas Airways plummeted over 10% on Monday, reaching their lowest levels in 10 months, as the airline's operations were disrupted by the conflict in the Middle East. The stock price fell as much as 10.4% to A$8.92 per share, its lowest level since 2 May 2025.

Airline Performance

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• Qantas Airways: down by 5.8% by 2345 GMT
• Virgin Australia: slipped as much as 3.5% to A$3.03 per share, before recouping losses to gain around 1.9%
• Air New Zealand: fell as much as 0.5% to NZ$0.553 each, before paring losses to trade flat

Market Indices

The S&P/ASX 200 index lost 0.5% to 9,156.20 by 2332 GMT, as risk-off sentiment prevailed after the US and Israel launched large-scale strikes on Iran.

Sector Performance

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• Banking and technology stocks nosedived
• Gold, energy, and defence stocks saw a gain on the back of the war in Iran

Global Air Travel Disruptions

The conflict sent thousands of flights into chaos, with more than 6,700 flights delayed and 1,900 cancelled globally as of 1000 GMT Sunday. Notable airlines that cancelled services included Emirates, Etihad, Air France, British Airways, Air India, Turkish Airlines, and Lufthansa.

Airport Closures

Key airports in Middle Eastern hubs, including Dubai and Doha, remained closed for a second day on Sunday due to the war in Iran. Iran, Iraq, Israel, Syria, Kuwait, Qatar, and the United Arab Emirates all announced that at least parts of their key airports were closed.