Boeing (BA): Towards a further decline in Boeing shares

Boeing (BA): Towards a further decline in Boeing shares

Towards a new leg of decline in the Boeing title

Shares of aerospace giant Boeing (BA) could be on the verge of starting another leg down amid renewed investor risk aversion. The stock, which for no particular reason rebounded 50% from June lows, could relapse and start to underperform Wall Street again in the face of economic uncertainty. Indeed, the economic outlook could once again reveal its share of uncertainties after several weeks of renewed investor optimism.

The flash PMI indices for the G7 countries published on Tuesday could be the catalyst for a new leg of decline if manufacturing activity in the euro zone and/or the United States were to deteriorate more than expected. Since the PMI indices are closely followed, as they are very reliable on the evolution of economic activity, a more marked decline would rekindle fears of recession.

Boeing stock is also a better sell candidate given that the company has released disappointing financial results for the past four quarters unlike its European counterpart Airbus which has released better-than-expected results for the past three. quarters.

The evolution of the Boeing title will also depend on the sentiment of the operators following Jerome Powell’s speech at the Jackson Hole symposium at the end of the week. The market could be jittery on Friday and early next week if the Fed Chairman gets tougher, which is likely given the improvement in funding conditions in recent weeks.

Boeing (BA) stock daily chart – key levels


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