What if Cheap jet fuel powers an airline-margin and capacity boom?
A sustained slide in jet-fuel costs from refining oversupply expands airline operating margins, encouraging capacity growth and re-rating DAL, UAL and the broader carrier complex.
how we built this number — every step
The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.
The butterfly cascade
How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.
Resolution timeline — how this probability is moving
Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 6–18 months horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.
What it would mean
If this plays out, it is a risk-on shock. A sustained slide in jet-fuel costs from refining oversupply expands airline operating margins, encouraging capacity growth and re-rating DAL, UAL and the broader carrier complex. The trigger decomposes into signed root‑shocks — Consumer spending ▲ · Global growth ▲ · Jet fuel ▼ · Risk appetite ▲ — which propagate through our causal graph to the markets below.
If it happens — the markets it would move
Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.
| Market | Class | Projected move | |
|---|---|---|---|
| 1 | Solana SOLon Hyperliquid 📈 chart | Crypto | ▲ +0.6% hist -4.85–+7.45% · other way -3.48% (n=8) |
| 2 | Hyperliquid (HYPE) HYPEon Hyperliquid | Crypto | ▲ +0.5% model prior · unmeasured |
| 3 | MicroStrategy MSTRon Hyperliquid 📈 chart | Equity | ▲ +0.4% hist -7.31–+12.6% · other way -2.13% (n=9) |
| 4 | Ether ETHon Hyperliquid 📈 chart | Crypto | ▲ +0.4% hist -1.57–+2.7% · other way +3.05% (n=8) |
| 5 | United Airlines UAL 📈 chart | Equity | ▲ +0.3% hist -7.16–+19.53% · other way -2.45% (n=9) |
| 6 | Nasdaq 100 NDXon Hyperliquid 📈 chart | Index | ▲ +0.3% hist -0.01–+0.47% · other way +0.36% (n=9) |
| 7 | Delta DAL 📈 chart | Equity | ▲ +0.3% hist -2.05–+9.75% · other way +0.65% (n=9) |
| 8 | Volatility (VIX) VIXon Hyperliquid 📈 chart | Vol | ▼ -0.3% hist -5.37–+2.28% · other way -1.34% (n=9) |
| 9 | Semiconductors SMHon Hyperliquid 📈 chart | Equity | ▲ +0.2% hist -0.02–+0.37% · other way -1.6% (n=9) |
| 10 | Bitcoin BTCon Hyperliquid 📈 chart | Crypto | ▲ +0.2% hist -4.1–+4.99% · other way +3.51% (n=8) |
| 11 | Tech sector XLK 📈 chart | Equity | ▲ +0.2% hist +0.03–+0.22% · other way +0.18% (n=9) |
| 12 | S&P 500 SPXon Hyperliquid 📈 chart | Index | ▲ +0.1% hist +0.02–+0.16% · other way -1.16% (n=12) |
| 13 | Coinbase COINon Hyperliquid 📈 chart | Equity | ▲ +0.2% hist -18.1–+24.87% · other way +2.7% (n=7) |
Probable recommendation
Historical precedent — what analogous events actually did
Across 17 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.
| Asset | History says | Abnormal (20d · 5d) | Hit | n | Confidence | vs cascade |
|---|---|---|---|---|---|---|
| DAL DAL | LONG | +8.3% · 5d +2.5% | 86% | 13 | 0.67 | ✓ matches cascade |
| UAL UAL | LONG | +18.1% · 5d +3.4% | 73% | 14 | 0.44 | ✓ matches cascade |
| COIN COIN | LONG | +26.2% · 5d +7.5% | 69% | 7 | 0.33 | ✓ matches cascade |
| NDX NDX | LONG | +0.3% · 5d -0.7% ↺ fades | 68% | 16 | 0.25 | ✓ matches cascade |
| High-yield credit HYG | SHORT | -0.4% · 5d +0.1% ↺ fades | 68% | 13 | 0.24 | · |
| US dollar DXY | LONG | +0.6% · 5d -0.2% ↺ fades | 64% | 17 | 0.23 | · |
| SOL SOL | LONG | +7.4% · 5d -9.5% ↺ fades | 65% | 9 | 0.21 | ✓ matches cascade |
| ETH ETH | LONG | +2.5% · 5d -4.2% ↺ fades | 65% | 9 | 0.21 | ✓ matches cascade |
| Volatility VIX | SHORT | -5.0% · 5d -3.4% | 65% | 16 | 0.21 | ✓ matches cascade |
| SPX SPX | LONG | +0.1% · 5d -0.3% ↺ fades | 61% | 17 | 0.18 | ✓ matches cascade |
| SMH SMH | LONG | +0.2% · 5d -0.3% ↺ fades | 59% | 15 | 0.16 | ✓ matches cascade |
| MSTR MSTR | LONG | +12.6% · 5d -4.0% ↺ fades | 56% | 15 | 0.12 | ✓ matches cascade |
| 10y yield DGS10 | LONG | +15bp · 5d +7bp | 56% | 17 | 0.09 | · |
| Gold XAU | SHORT | -0.9% · 5d -0.8% | 53% | 15 | 0.06 | · |