Economic issues not a factor in 737 MAX's safety review

CNBC's Fast Money


Got another news alert on billing transportation secretary. Elaine Chao saying the White House is not pressuring regulators to unground the 737 Max in an interview with Reuters Chow said that economic issues will not be a factor in the decision vision to unground that airplane. That news just crossing right now. All right let's get Philibeaux. WHO's got more not only probably on this? But also more on Boeing and general out of Chicago PHILP and Brian just to play off. What you were talking about? There has been this theory floating around. I would say mainly for the last three or four days. People and I've heard from people who have emailed L. ME and said is there any chance that Boeing suspended Max production so they could get the White House. Say Look you're going to hurt the GDP you're going to hurt the economy to me. Looks eventually these people might have to be laid off. And I heard no indication of that from people at the EPA. I've gotten zero indication that there is is the idea that the White House is pressuring them. None at all so this plays into that with Elaine Chao saying that economic factors will have no bearing on the decision of whether or not to ground or ground. The seven thirty seven Max. We want to talk about how many cancellations that we've seen because united was out today. There's a big number for you Brian. Are you ready for a hundred and forty five thousand. That's how many U s seven thirty seven Max. Flights have been cancelled if you go from March thirteenth. You've won the grounding started all the way through when we expect the Max to be grounded for in the spring of next year united out today is the latest and yet it's interesting with united because while American and South West have said. We're GONNA take it off the scheduled till early April united. Said you know what we're GonNa do it until June fourth. That's when we plan planned to fly the plane again so if you're keeping score you've got American in South West planning to bring it back in early April and then you've got united saying we're going to bring it back in June June. There's always the chance guys that this plane gets recertified faster than expected. They could bring the plane back a little bit sooner but as of right now. Those are the latest plans and just a reminder minders you take a look at shares of Boeing production on the seven three seven Max will be halted probably early January. They don't have an exact date right. Now there's a few planes that are still in process as they worked those through In Finnish building those Brian. But that's when we will see production halt in January and you wonder how they're getting those dates those airlines in June's this April that I mean nobody really knows it could be in the summer and more can add to that hundred and forty five thousand number for canceled Flights Philip. Thank you very much agree. Friday a lot of work this week have a great weekend Phil. Thank you very much. So guys bowing down thirteen percent. This quarter at this rate is gonNA join three others. One of four Dow stocks dental before that are down down on the year tragedy on it looks like investors are starting to give up on the stuff. It's the tragedy happened. Went October eighteen and then after that it was march march of two thousand nine hundred has been going on for some time. Now and Boeing has been hanging onto a prophet year today. Now it's up about one percent or so probably going to go negative. I get it I get it. That should be somewhat safe but I think you want to avoid it now. There's so many layers to the story but what it is bullish for our the airlines. I'm a long spirit airlines. Save you take you take supply off the market and it helps the airlines. There's been a couple of upgrades in the airline space as well save is where I'm law agree. I agree with Steve. The unintended consequences of this are actually more supply discipline out of airlines. But but to be clear Boeing's been aside way stock for twenty one months. I mean even before this issue shoe. This was a company that people were wrestling with evaluation. So I I don't think that this announcement of course they cancel. Of course. That's the number. Of course. United is running for cover and Cya for them because they were so off-side unlike Delta. Who didn't have this kind of exposure? That doesn't sit. Well listen the. The analysts community has a three hundred eighty six dollar average price targets target sixty dollars above where the stock is down. One of two things. You've got to happen to stocks. Got To recover. The analysts community is GONNA lose downgrade and start cutting short-term the tragedy notwithstanding in the short term or two year underperformance notwithstanding. Where is this going to be thirty six months out if one sort of long term and I think everyone knows it? It's going to be hard you you think so. You're that confidence sure. Okay for the latest on Boeing's Max

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