Boeing at two-week high as approval for 737 MAX to fly seen by late June
REUTERS: Shares of Boeing Co rose as much as 3per cent to more than a two-week high on Friday after Reuters reported that the Federal Aviation Administration (FAA) expects to approve 737 MAX jets to return to service as soon as late June.
Shares of the world’s biggest planemaker have fallen nearly 15per cent since the fatal crash of an Ethiopian Airlines 737 MAX jet in March, erasing about US$40 billion in market value.
The stock has also been among the worst performers on the S&P 500 index and the Dow Jones Industrial Average. The benchmark index is up about 3per cent during the same period, while the Dow has risen by a marginal 0.2per cent.
If the aircraft is cleared to fly by June, its operators, including Southwest Airlines Co, American Airlines Group Inc and United Continental Holdings Inc, would likely not have to extend costly cancellations that they have already put in place for the peak summer flying season.
(Reporting by Ankit Ajmera in Bengaluru; Editing by Anil D’Silva)