Air China's stock surged 5.05% during intraday trading on Tuesday, significantly outperforming the broader market. The sharp rise came as aviation stocks across the board rallied in response to favorable industry developments.

The primary catalyst for the movement appears to be a sharp drop in global crude oil prices, triggered by easing tensions between the United States and Iran. As fuel costs typically constitute 25% to 40% of an airline's operating expenses, this retreat in oil prices is viewed as a direct positive for carrier profitability and a relief from a major cost burden.

Concurrently, optimism surrounding the upcoming Dragon Boat Festival and the summer travel season is providing additional support. Air travel demand has shown sustained year-on-year growth in recent months, and with the peak travel period set to begin, supply and demand dynamics are expected to further enhance the positive impact of lower fuel costs on airline earnings.