Cantor on June 10, 2014, became the first sitting House majority leader in the history of the job to lose his own party’s primary. Nearly every pundit in America called Brat’s win a political earthquake, and it didn’t seem like much of an exaggeration.
One of the Cantorquake’s biggest aftershocks came on Wall Street, where the next morning shares of Boeing dropped 2.3 percent-the biggest decline of all companies on the Dow Jones Industrial average that day. The headline at Bloomberg News told the story: “Boeing Tumbles as Cantor Loss Clouds Ex-Im Bank’s Future.”
How could the loss of a single House seat so thoroughly rattle the stockholders of a giant, profitable, stable company like Boeing, let alone the supporters of an obscure Washington institution like the Export-Import Bank? Boeing, it turns out, is the largest beneficiary of the Ex-Im Bank’s loan guarantees, which are typically awarded to foreign companies and governments for the purposes of buying big-ticket items like U.S.-made jets.
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