Boeing shares jump nearly 4% after FAA announcement on 737 MAX and 787 aircrafts — Details here
Boeing's stock increased by 3.82% to $221.69 on September 26, following the FAA's decision to partially restore its authority to issue airworthiness certificates for select 737 MAX and 787 aircraft.
Boeing's stock surged nearly 4 per cent on Friday after the Federal Aviation Administration announced it would partially reinstate Boeing’s authority to issue airworthiness certificates for certain 737 MAX and 787 aircraft.
Boeing shares jumped 3.82 per cent to $221.69 at 1:12 pm (EDT) on Friday, September 26, according to data collected from Marketwatch.
The FAA announced that from September 29 2025, Boeing will be permitted to issue airworthiness certificates for some 737 MAX and 787 aircraft in limited delegation. An airworthiness certificate confirms that an aircraft is safe to operate.
What did the FAA say?
Elaborating on granting Boeing permission, the agency said, “FAA will only allow this step forward because we are confident it can be done safely. This decision follows a thorough review of Boeing’s ongoing production quality and will allow our inspectors to focus additional surveillance on the production process.”
It further said, “The FAA will continue to maintain direct and rigorous oversight of Boeing's production processes. Boeing and the FAA will issue airworthiness certificates on alternating weeks.”
The FAA announcement signifies progress in Boeing's recovery following the fatal MAX crashes in 2018 and 2019. These incidents resulted in a lengthy grounding of the aircraft and congressional investigations, during which the FAA was also criticised for its close relationship with the aircraft manufacturer, AFP reported.
The civil aviation regulator allowed the MAX to resume service in November 2020, but it faced backlash again after a January 2024 incident in which an Alaska Airlines jet had to make an emergency landing due to a blown window panel.
In 2019, the FAA took away Boeing's authority to issue airworthiness certificates for the 737 MAX. Additionally, in 2022, the agency revoked this authority for the 787 due to concerns over production quality.
US stock market on Friday
The S&P 500 gained 0.6%, with four out of five stocks in the index rising. The Dow Jones Industrial Average gained 355 points, or 0.8%, as of 1:12 pm(ET), while the Nasdaq composite went up by 0.4%.
Stocks gained some support from a report indicating that U.S. inflation rose to 2.7% last month from 2.6% in July, based on the Federal Reserve's preferred price index, exceeding the Fed’s 2%, AFP reported.
(With inputs from agencies.)