DEFENCE SHARES LIFT EUROPEAN STOCKS TO NEAR RECORD HIGHS – The continent’s leaders agreed to boost defence spending
European shares hovered near record highs, propelled by defence stocks after the continent’s leaders agreed to boost defence spending and draw up a Ukraine peace plan to present to the United States.
The pan-European STOXX 600 index was up 0.4% as of 0811 GMT, aiming to build on a run of ten straight weeks of gains.
The European aerospace and defence index surged more than 6% to a record high after the continent’s leaders agreed, over the weekend, that they must spend more on defence to show the U.S. they can protect themselves.
Rheinmetall surged 17.4%, BAE Systems jumped 11.6%, and Leonardo advanced 15.1%.
The European Central Bank will be in the spotlight ahead of its policy meeting later this week. While a rate cut is widely expected, the focus will be on the central bank’s comments amid widespread uncertainty after U.S. plans for “reciprocal” tariffs on the European Union.
