Leaders from across Europe have proposed a peace plan for Ukraine, pledging to increase defense spending to deter further Russian aggression. The news boosted shares in top defense contractors such as Thales, Rheinmetall, Leonardo, and Saab, with all seeing significant gains of over 11%. BAE Systems, a London-based company, was among the top risers, increasing by 15%. This surge in defense stocks is largely due to concerns that European nations may need to take on more responsibility for their own defense in light of potential changes in US involvement. The rally has been one of the best-performing trades in global markets this year.
Source: https://www.wsj.com/livecoverage/stock-market-today-dow-sp500-nasdaq-live-03-03-2025/card/european-defense-stocks-surge-after-leaders-aim-to-broker-ukraine-peace-plan-iBNOEZ9egXgqNYTxaaaB