Boeing Getting Slammed In The Pre-Market On Japanese Supply Chain Worries -- Boeing shares are selling off in the pre-market today, down over 2.7%, over concerns the company's supply chain will face severe delays as a result of the continuing crisis in Japan. Citi's Jason Gursky says the problem affects pretty much all of Boeing's biggest brands.
Honda safeguards supplies in case of more earthquakes -- There is no threat at present to production at Swindon but Honda has decided to take contingency measures to identify vulnerable points in the supply chain between Japan and Europe. The five plants operated by GKN in Japan producing components have escaped any damage but its £400m a year business has suffered from the loss of business with the big manufacturers.
Germany mitigates too.
Germany Shuts 7 Reactors for 3-Month Review -- With the crisis in Japan raising fears about nuclear power, Chancellor Angela Merkel said on Tuesday that she will temporarily shut down seven German nuclear power plants that began operations before the end of 1980 as officials begin a three-month safety review of all of the country's 17 plants. Mrs. Merkel said the shutdowns were based on a government decree. Germany is the first European country to halt operations at some reactors in response to the nuclear disaster in Japan.
World market news.
Japan's Nuclear Crisis Roils World Markets -- Japan's major equity index lost 6% Monday in the first day of trading since Friday's tragic earthquake and tsunami, and saw an even steeper drop Tuesday as the Nikkei 225 slumped 10.6% on fears of a nuclear crisis set off by the disaster.
It's not melamine, but...
Radioactivity at Japan's nuclear plant threatens milk supply -- Reuters reports airborne radioactive material from Japan's nuclear plant poses a threat to dairy cows resulting in contaminated milk which increases radiation exposure to the country's milk drinkers.
It's too soon to know the real global impact.
Japanese production of autos, computer chips, other goods at risk -- That disruption has compromised the ability of Japanese manufacturers to obtain supplies and electricity to continue output and for their employees to get to work. It is too soon to know how much world supply chains for key goods will be affected. Global businesses have been able to work around national disasters in the past, such as the aftermath of the Indian Ocean tsunami in 2004 and Hurricane Katrina in 2005.
- Sheena Moore