NC,
Respect your posts but it’s ludicrous to assume fuel hedging occurs in a vacuum.
Another like minded poster compared fuel hedging losses to unused fire insurance. Let’s look at that using CX figures.
Current fuel hedging losses over 4 years aprox 23B.
CX total market capitalization aprox 40B.
So aprox 14% of the total value of the company was spent annually on “insurance”.
That would be the equivalent of purchasing a $10M investment unit, purchasing fire insurance for $120,000/month, then wondering why your unit isn’t giving an attractive return on capital employed.
If every unit owner was paying the equivalent, then that’s reflected in the market rate for rents. If you’re an outlier, then you’d better be praying the street burns down and you’re the only landlord rebuilding after the carnage.