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Hesitant investors just don’t give

Boeing

benefit of the doubt

Boeing

(ticker: BA) the stock fell around 3% in pre-market trading after an engine failure on a

United Airlines

777 jet Investors are still scarred by the nearly two-year saga that grounded the 737-MAX, so they sell Boeing stock if there is a safety concern

Boeing’s stock reaction, if understandable, still seems a bit odd Boeing does not manufacture or service the engines The 777 that suffered the failure had Pratt engines & Whitney 4000-112 Pratt is a division of

Raytheon Technologies

(RTX)

The flight in question, United 328, was leaving Denver for Hawaii when the right engine suffered an “uncontrolled failure” The engine parts left their housing, the nacelle, and struck the ground Fortunately, the plane returned at the airport without injuries

“Boeing is actively monitoring recent events related to United Airlines Flight 328 While the NTSB investigation is ongoing, we have recommended suspending the operations of the 69,777 in service and 59 in storage powered by Pratt & engines Whitney 4000-112 until FAA identifies appropriate inspection protocol, ”a Boeing statement read on Sunday.

Pratt & Whitney also released a brief statement which reads in part: “Pratt & Whitney is actively coordinating with operators and regulators to support the revised inspection interval for the Pratt & Whitney PW4000 engines that power the Boeing 777 “

Boeing and Raytheon were not immediately available for further comment on engine maintenance practices or possible causes of the outage United Airlines also did not immediately respond to a request for comment

After the crash, the Japanese Bureau of Civil Aviation and the Federal Aviation Administration suspended the operations of 777 jets powered by Pratt & Whitney 4000-112 Boeing engines, which appears to be the right decision

/ p>

“Early FAA findings indicate two fan blades are fractured,” Vertical Research Partners aerospace analyst Rob Stallard wrote in a research note Monday, noting that former NTSB chairman Jim Hall , said this was another example of “cracks in our aviation culture security (which) needs to be addressed “

Raytheon stock is down about 2% in pre-market trading United Airlines shares, however, are up about 15%

S&P 500

and

Dow Jones Industrial Average

futures were down around 05% and 07%, respectively, on Monday morning

Boeing shares have risen around 2% year-to-date, but shares have fallen nearly 50% since early March 2019, when a second 737 MAX crash in a few months led global ground of the latest Boeing model, the single-aisle plane

The MAX accidents have led to many changes at Boeing, including the creation of a board-level safety committee

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Boeing stock

Global news – United States – Boeing Stock hits 777 engine failure That’s false

Source: https://www.barrons.com/articles/boeing-stock-falls-on-engine-failure-in-777-model-jet-thats-wrong-51614002230