Boeing Stock Rebounds After Trump Promotes “Large Transaction” With Qatar

Less than two hours after Boeing came clean that second-quarter jet deliveries slid 54% from a year earlier to just 90 aircraft, reflecting the toll from a global grounding of the 737 Max after two fatal crashes, President Trump offered a silver lining (that investors immediately loved) Qatar plans to purchase aircraft in a “large transaction” with Boeing.

The reaction was to buy Boeing stock, because Qatar just fixed all their issues?

However, as Bloomberg notes, Trump didn’t indicate whether Qatar was signing a new agreement, or following up on previous agreements, including a $1.8 billion deal announced last month at the Paris Air Show for five Boeing-777 freighters. That sale wasn’t listed in Boeing’s June orders, meaning the final contracts hadn’t been signed.

Finally, we note that the Qatar purchase follows a dinner between Mnuchin and the emir Al Thani which included:

  • Trump

  • Mulvaney

  • Ivanka, Jared

  • Dina Powell

  • Hank Paulson

  • Mike Crapo

  • Tom Barrack

  • Bob Kraft

  • Stan Kroenke

  • David Rubenstein

  • Steve Roth

  • Citigroup CEO Michael Corbat

  • Wells Fargo CEO C. Allen Parker.

One wonders what else was offered to rescue Boeing?

via ZeroHedge News https://ift.tt/2XyKEEl Tyler Durden

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