Shares of United Airlines plunge on sour outlook for 4Q profit because of rising fuel prices

Shares of United Airlines tumbled more than 7% on Wednesday morning and took the rest of the industry down with them after the carrier gave a gloomy outlook for fourth-quarter profit, which will be reduced by rising jet fuel prices.

In addition, United's revenue could be disappointing the longer that flights to Israel are suspended for the Israel-Hamas war.

United reported after the market closed Tuesday that it earned $1.14 billion in the third quarter, beating Wall Street expectations for profit and revenue.

Investors, however, focused immediately on the airline's prediction that fourth-quarter earnings would be between $1.50 and $1.80 per share, well below analysts' forecast of $2.09 per share.