(Bloomberg) -- With crude prices plunging below $60 a barrel, consumers who count fuel as their single biggest expense are rushing to lock in supplies.

More than 25 million barrels of options contracts on the Brent benchmark traded in structures that protect buyers from price gains this week. The activity reflected consumer hedging that allows airlines, truckers and shipping companies to lock in lower fuel costs, according to people involved in the market.

Industrial consumers of oil often use derivatives to manage exposure to their single largest cost. Benchmark Brent crude futures have dropped more than 20% in the past week, with the US and China exchanging demand-sapping tariffs just as OPEC+ prepares to boost supply by more than previously anticipated. That’s made locking in crude for 2026 more attractive than at any time in the past three years.

“Quite a few of our clients have been running a low hedge ratio on the consumer side and have used the selloff to get closer to their benchmark hedge ratio,” said Arne Lohmann Rasmussen, chief analyst at A/S Global Risk Management. “A few have said they have been waiting for this setback.”

The upturn in activity led to call option volumes climbing to their highest level since October earlier this week. Back then, direct attacks between Iran and Israel sparked a flurry of consumer activity.

For some consumers hedging has been a divisive activity. While it offers protection against surging costs, it can at times be expensive and can lead to large losses on paper.

Earlier this year Southwest Airlines Co. said it would end its long-held policy of locking in prices — one that has in the past saved it billions of dollars — citing the cost of buying such contracts.

The uptick in consumer hedging also shows up in some of the moves on the oil futures curve. Brent for December 2026 is now trading a dollar higher than the equivalent contract for 2025, a sign that nearer prices are falling faster than later ones.

The initial burst of hedging activity occurred earlier this week, before a fresh collapse in prices on Wednesday. Brent futures slid close to 7% below $59 a barrel at their lowest point.

“Clearly consumers are coming in to hedge on the back of sharply lower prices,” said Helge Andre Martinsen, senior oil analyst at DNB Bank ASA. “If the macro becomes too shaky then some consumers get nervous about demand for their products, which could impact hedging behavior.”

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