The FAA has issued another directive to airlines – this time over concerns for the Boeing 737
The Federal Aviation Administration says over 10,000 aircraft around the world could be impacted by a faulty switch impacting cabin altitude pressure.
‘Cabin altitude pressure switches’ are of concern to the American watchdog and the directive requires airlines to conduct regular checks.
The FAA says airlines must replace or fix switches that are deemed faulty.
Aircraft cabins are pressurised to the equivalent of more than 8,000 feet.
Boeing supportive of the FAA directive
The FAA says the directive has been issued for all types of 737 aircraft.
Boeing stated it supports “the FAA’s direction, which makes mandatory the inspection interval that we issued to the fleet in June.”The FAA directive did not report any in-flight failures of the switches.
The watchdog stated that all aircraft assessments must be conducted within 2,000 flight hours since the last test of the cabin altitude pressure switches, before airplanes have flown 2,000 hours, or within 90 days of the directive’s effective date.
Boeing initially reviewed the issue, including the expected failure rate of the switches, and found it did not pose a safety issue.
Boeing’s increased problems
Boeing says it will cut 787 Dreamliner production after finding another production-related structural defect.
America’s aviation watchdog discovered problems with undelivered Boeing Dreamliners, forcing the manufacturer to take swift action.
The Federal Aviation Administration revealed that some undelivered Boeing 787 Dreamliner jets have a manufacturing quality issue impacting the nose of the aircraft.
The issues will likely further delay deliveries of the popular wide-body jets.
The FAA says the issue is “near the nose on certain 787 Dreamliners in the company’s inventory of undelivered airplanes. This issue was discovered as part of the ongoing system-wide inspection of Boeing’s 787 shimming processes required by the FAA.”
It also comes after a major customer partially canceled a 737 MAX order in a double hit to the U.S. planemaker’s COVID-19 recovery.
Boeing says it plans to fix the issues impacting the nose of the aircraft on the Boeing 787
The FAA added that “although the issue poses no immediate threat to flight safety, Boeing has committed to fix these airplanes before resuming deliveries.” The air regulators added after a review of data it “will determine whether similar modifications should be made on 787s already in commercial service
Boeing plans to address and fix the issue before the planes will be delivered
The aircraft manufacturing company has about 100 undelivered 787s in inventory.
Boeing suspended deliveries of the 787 in late May after the FAA raised concerns about its proposed inspection method, saying it was “waiting for additional data from Boeing before determining whether the company’s solution meets safety regulations.”
The FAA in May had issued two airworthiness directives to address production issues for in-service airplanes.
Markets gain momentum ahead of Thanksgiving, with the Dow up 388 points and Oracle rising 4% amid investor optimism.
Markets are moving into the Thanksgiving break with strong momentum, as stocks notch four straight days of gains. The Dow Jones Industrial Average jumped 388 points, while the S&P 500 added 0.9%, pushing both indexes toward their best week since June.
Oracle led major movers, rising more than 4% after Deutsche Bank reaffirmed its bullish outlook on the tech giant. Broad investor optimism continues building across sectors as economic data softens and earnings remain resilient.
All eyes are now on the Federal Reserve and what potential shifts in interest-rate policy may mean for the markets. U.S. markets will close Thursday for the Thanksgiving holiday and reopen Friday for a shortened trading session.
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In Short:
– Dow Jones rose 569 points, reflecting optimism for a Federal Reserve interest rate cut.
– Alphabet’s stock increased as Meta may invest in AI chips, but Nvidia’s declined amid market concerns.
The Dow Jones Industrial Average increased by 569 points or 1.2% on Tuesday, reflecting investor optimism for an upcoming Federal Reserve interest rate cut. The S&P 500 and Nasdaq Composite also posted gains, up 0.8% and 0.4% respectively. This represented a recovery from earlier losses, where the S&P 500 briefly fell by 0.7%.
Markets anticipate an 85% chance of a quarter-point rate cut in December, driven by comments from New York Fed President John Williams, who indicated the possibility of lower rates soon. Investor sentiment strengthened following reports that Kevin Hassett may be appointed as the next Fed chair, potentially resulting in a more lenient monetary policy.
Tech Sector
Alphabet saw its stock rise by over 1% after reports indicated that Meta Platforms might invest in its AI chips. This could signal increased demand for AI technology, benefiting the sector overall. However, Nvidia’s stock fell more than 3%, suggesting concerns about its dominance in the AI chip market.
Investors are also wary of the valuation of tech stocks. Despite recent gains, the S&P 500 and Nasdaq remain down over 1% and 3%, respectively, for November, while the Dow has lost more than 1% this month. The broader market’s performance indicates ongoing scrutiny regarding tech valuations amid changing economic expectations.
Gold prices surge as central banks increase demand; risks include a stronger dollar and rising interest rates.
Gold prices are climbing fast as central banks ramp up buying, pushing demand to its highest levels in years. The metal’s reputation as a safe haven is strengthening, especially amid rising geopolitical tensions and global financial uncertainty.
But experts warn the shine could fade. A stronger US dollar and the possibility of rising interest rates may weigh on momentum, making investors question how long the rally can last.
Dr Steven Enticott from CIA Tax breaks down the drivers behind gold’s surge—from ETF inflows to physical bar demand—and what could send the price sharply higher… or lower.
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