GE shares paced the S&P 500's gainers, to close at a 4-month high
The industrial conglomerate's stock (GE) shot up 6.1% to $7,29, the highest close since June 16, and enough to make it the biggest gainer among the S&P 500 index's components. With trading volume of 167.9 million shares, the stock was the second-most active on the New York Stock Exchange.
European Union Aviation Safety Agency Executive Director Patrick Ky said in an interview with Bloomberg () that the safety upgrades Boeing (BA) made to its MAX planes could mean they can return to European airspace by the end of the year ( ).
The 737 MAX aircraft have been grounded since March 2019, following two deadly crashes within a five-month period.
GE's aerospace division, which makes engines featured in the 737 MAX aircraft, reported in July a second-quarter revenue decline of 44% from a year ago, making it by far the weakest of the company's major business segments. For the third quarter, the FactSet revenue consensus for GE Aviation of $4.93 billion implies a 39% decline.
Don't miss: GE's stock sinks, as CEO Culp can't call a bottom in the Aviation business ().
Boeing's stock rose as much as 5.6% intraday before paring some gains to close up 1.9% at $167.35.
GE's stock has still dropped 34.7% year to date, while Boeing shares have shed 48.6% and the Dow Jones Industrial Average has gained 0.2%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
October 17, 2020 10:19 ET (14:19 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.