US Airlines Brace for Third Day of Government-mandated Flight Cuts

DENVER, COLORADO - NOVEMBER 8: A display board shows canceled flights at Denver International Airport on November 6, 2025 in Denver, Colorado. Michael Ciaglo/Getty Images/AFP
DENVER, COLORADO - NOVEMBER 8: A display board shows canceled flights at Denver International Airport on November 6, 2025 in Denver, Colorado. Michael Ciaglo/Getty Images/AFP
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US Airlines Brace for Third Day of Government-mandated Flight Cuts

DENVER, COLORADO - NOVEMBER 8: A display board shows canceled flights at Denver International Airport on November 6, 2025 in Denver, Colorado. Michael Ciaglo/Getty Images/AFP
DENVER, COLORADO - NOVEMBER 8: A display board shows canceled flights at Denver International Airport on November 6, 2025 in Denver, Colorado. Michael Ciaglo/Getty Images/AFP

Major airlines braced for a third day of government-mandated flight cuts Sunday after rising air traffic control staffing shortages snarled thousands of flights on Saturday.

The Federal Aviation Administration instructed airlines to cut 4% of daily flights starting on Friday at 40 major airports because of air traffic control safety concerns. The shutdown, which has reached a record 40 days, has led to shortages of air traffic controllers who, like other federal employees, have not been paid for weeks.

Reductions in flights are mandated to reach to 6% on Tuesday and then hit 10% by November 14, Reuters said.

The FAA said on Saturday there were air traffic control staffing shortages impacting 42 airport towers and other centers and delaying flights in at least 12 major US cities including Atlanta, Newark, San Francisco, Chicago and New York.

Some 1,550 flights were canceled and 6,700 flights were delayed on Saturday, compared with Friday when 1,025 were canceled and 7,000 were delayed.

Airline officials privately said the number of delay programs made it nearly impossible to schedule and plan many flights and expressed alarm about how the system would function if staffing issues worsen.

The cuts, which began on Friday morning, include about 700 flights from the four largest carriers: American Airlines , Delta Air Lines, Southwest Airlines and United Airlines. The airlines are due to cancel about the same number of flights Sunday.

During the government shutdown, 13,000 air traffic controllers and 50,000 security screeners have been forced to work without pay.

US Transportation Secretary Sean Duffy said it was possible he could require 20% cuts in air traffic if more controllers stop showing up for work. "I assess the data," Duffy said. "We're going to make decisions based on what we see in the airspace."

Republican Senator Ted Cruz said he was told by the FAA that since the shutdown started pilots have filed more than 500 safety reports about mistakes made by air traffic controllers because of fatigue.

 



Euro Zone Yields Fall after Iran Raises Prospect of Hormuz Reopening

Euro banknotes (Reuters)
Euro banknotes (Reuters)
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Euro Zone Yields Fall after Iran Raises Prospect of Hormuz Reopening

Euro banknotes (Reuters)
Euro banknotes (Reuters)

Euro zone bond yields fell for a second straight day on Tuesday, hitting their lowest in almost two weeks after Iran raised the prospect of reopening the Strait of Hormuz and Washington hinted it could restart talks with Tehran, pushing oil prices lower.

Germany's 10-year bond yield, the benchmark for the bloc, fell 1 basis point to 3.44% after rising as much as 4 bps earlier in the session. It fell 7 bps on Monday as energy prices retreated.

A senior Iranian official told Reuters that the strait, which carried about a fifth of global energy supplies before the war, could reopen within seven days if the US also lifts its blockade of Iranian ports.

The official added that Iran's delegation to a UN meeting in New York this week has full authority to revive diplomacy over the conflict.

US Secretary of State Marco Rubio told NBC's "Today" show that Washington was open to speaking with Tehran.

The dip in energy prices helped pull yields lower globally after a surge in recent weeks fuelled by expectations of further interest-rate hikes to combat energy-driven inflation. Traders are pricing in around 35 bps of additional European Central Bank tightening this year, down from 40 bps on Friday.

Germany's two-year bond yield, which is sensitive to interest-rate expectations, fell 1 bp to 3.19%, following a 6-bp drop on Monday.

Rabobank senior rates strategist Lyn Graham-Taylor said lower oil prices following the Iranian comments were weighing on bond yields.

Brent crude futures were last down 1% to $100 a barrel after earlier falling to $97.40, the lowest in two weeks.


Libya's NOC Says Sharara Crude Pipeline Closure Losses at 130,000 bpd

General view of the Sharara oil field in Libya (Reuters)
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Libya's NOC Says Sharara Crude Pipeline Closure Losses at 130,000 bpd

General view of the Sharara oil field in Libya (Reuters)

Libya's National Oil Corporation said on Tuesday that the Sharara-Zawiya crude loading pipeline closure has led to daily losses of about 130,000 barrels per day, Reuters reported.

An armed military group closed valve seven on the Sharara crude pipeline to Zawiya port on Monday, resulting in a significant decline in production at the Sharara oilfield, the National Oil Corporation said in a statement.

 

 

 

 


Sources: Saudi Arabia Restarts East-West Oil Pipeline

FILE PHOTO: A model of an oil pump is seen in front of a Saudi Arabian flag in this illustration taken January 9, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: A model of an oil pump is seen in front of a Saudi Arabian flag in this illustration taken January 9, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
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Sources: Saudi Arabia Restarts East-West Oil Pipeline

FILE PHOTO: A model of an oil pump is seen in front of a Saudi Arabian flag in this illustration taken January 9, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: A model of an oil pump is seen in front of a Saudi Arabian flag in this illustration taken January 9, 2026. REUTERS/Dado Ruvic/Illustration/File Photo

Saudi Arabia has restarted operations at its East-West Pipeline and could resume exports from the Red Sea port of Yanbu later on Tuesday, three sources briefed on the matter said.

Drone attacks forced Saudi Arabia to shut its East-West Pipeline on September 13, halting crude loadings at the kingdom's Yanbu port.

The resumption of supplies on Tuesday helped to drive selling on global oil markets, traders said. Brent crude futures fell by more than $2 a barrel to its lowest since September 8.

Two trading sources said traders were getting ready for Saudi oil loadings by moving tankers to Egypt's Mediterranean Port Said for ship-to-ship transfers and also to Sidi Kerir.