04.05.2020 Boeing Daily Analysis

04.05.2020 Boeing Daily Analysis

Boeing today is trading at $133.37, it went down with $7.65 mainly because US airlines are slashing hundreds of thousands of flights, cutting schedules by 80% and parking thousands of jets asx demand for tickets has plunged by about 95%. Boeing announced that it will be cutting some production rates and eliminate about 16 000 jobs worldwide or 10% of its workforce by the end of the year.  Boeing Chief Executive Dave Calhoun pointed out that it will take two to three years for travel to return to normal and it will be a few years beyond that for the industry to return to long-term growth trends. More so, airlines are requiring facial coverings and implementing new cleaning procedures to try to convince passengers that it will be safe to fly again, however, due to the weakened economy may further drag down the demand.