CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure. CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure.

Boeing share price tumbles, leading the decline on Wall Street

The US aerospace and manufacturing company helped drag the S&P 500 lower on Wednesday, with investors unable to find solace from the prospect of a taxpayer bailout.

Boeing shares tumbled 16% on Wednesday morning after investors were unable to take solace from the prospect of a $60 billion taxpayer bailout to protect it from the collapse in global travel due to the coronavirus outbreak.

‘Ultimately, we think the US government will take the view that Boeing is ‘too big to fail,’ but that could provide little comfort to equity investors,’ Robert Stallard, analyst at Vertical Research Partners said a note.

Stallard did mention, however, that a Boeing bailout is a ‘moral hazard’, with taxpayers likely to take a dim view of such a move after bailing out US banks in the wake of the 2008 financial crisis.

‘This is a company that boasts on its website that it has bought back $35 billion of shares and paid $15 billion in dividends over the last 5 years,’ Stallard added.

‘It has also paid executives egregious amounts of money and been implicated in two fatal air crashes.’

Boeing is trading at $104 a share as of 16:15 (GMT) on Wednesday, down from $330 a share at the start of the year.

Looking to trade Boeing and other US stocks? Open a live or demo account with IG today.

Wall Street losses continue amid Covid-19 outbreak

Boeing helped lead Wall Street lower on Wednesday, with the S&P 500, Nasdaq Composite and Dow Jones all down more than 4%.

Despite the Federal Reserve lowering interest rates to near zero to reduce the economic impact of Covid-19 earlier this week, it has done little to stop US equities continuing their decline.

You can go long or short the S&P 500 and other major indices with IG using derivatives like CFDs.

Travel industry suffers as coronavirus spreads

The travel industry is struggling to cope with the impact of the coronavirus, with the S&P 1500 airlines index down 13% on Wednesday.

Meanwhile, hotel operators like Hilton Worldwide Holdings, Marriott International and online travel booking site Expedia helped lead the S&P 500 lower.


This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.

React to global volatility

Market volatility continues as coronavirus dominates the global agenda. Trade with us to take advantage of:

  • Tight spreads – from just 1 point on major indices, and 2.8 on US crude
  • Guaranteed stops – they’re free to use, and you’ll only pay a small fee if they’re triggered
  • Round-the-clock assistance – our highly-skilled team are on hand to support you

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
liveprices.javascriptrequired
liveprices.javascriptrequired
liveprices.javascriptrequired

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Friday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.