CNBC Daily Open: Turbulent times for Boeing

• Boeing shares fell 8% after the Federal Aviation Administration (FAA) ordered airlines to ground dozens of Boeing 737 Max 9 aircraft for urgent inspections. This order came after a door plug blew out during an Alaska Airlines flight and loose bolts were found on door plugs of several Boeing 737 Max 9 planes by United Airlines.
• Wall Street’s main indexes had a positive start to the week, with the S&P 500 closing 1.41% higher and the Nasdaq Composite jumping 2.2%. Europe’s Stoxx 600 index also closed 0.34% higher, lifted by tech shares and retail.
• Nvidia unveiled three new graphics cards priced between $599 and $999, aiming to boost its presence in consumer GPUs for “local” AI that can run on a PC or laptop at home or an office.
• Mortgage interest rates dropped sharply in December, likely kickstarting the spring housing market in 2024. The rates are nearly a full percentage point lower compared with October, and consumers expect further declines.
• RBC Capital Markets’ head of U.S. equity strategy raised her year-end S&P 500 price target to 5,150 from 5,000, despite the market’s slow start to the year.

The bottom line:

• The aviation industry has had a challenging start to the year, with incidents like the recent grounding of Boeing’s 737 Max 9 planes, affecting around 171 aircraft worldwide. This adds to the string of problems for Boeing, raising questions about the company’s quality checks and future aircraft requirements.
• On a positive note, American home buyers may make a return this year as mortgage rates dropped significantly in December, giving homeowners the expectation of further declines.