Global defense stocks rose on Thursday after US President Donald Trump called for a $1.5 trillion defense budget for 2027 late Wednesday.
“After the long and difficult negotiations with Senators, Congressmen, Secretaries, and other Political Representatives, I have determined that, for the Good of our Country, especially in these very troubled and dangerous times, our Military Budget for the year 2027 should not be $1 Trillion Dollars, rather $1.5 trillion dollars,” Trump wrote on his Truth Social platform.
“This will allow us to build the ‘Dream Military’ that we have long been entitled to, and, more importantly, that will keep us SAFE and SECURE, regardless of foe,” he added.
In premarket trading, Northrop Grumman gained 6.8 percent, Lockheed Martin rose 6.7 percent, RTX climbed 5.4 percent, and Kratos Defense advanced 6.6 percent.
Early European trading saw the Stoxx Europe Aerospace and Defense index up 1.4 percent, with Renk and Leonardo leading gains at 3.6 percent and 1.5 percent, respectively.
In Asia, Mitsubishi Heavy Industries rose 2.4 percent, while Bharat Electronics gained 0.3 percent.
Over the weekend, US forces captured Venezuelan President Nicolas Maduro and his wife during a midnight assault, according to American authorities, who said the couple was charged with narcotics trafficking in New York on Saturday.
Since then, Trump has renewed calls to acquire Greenland and declared that the US would seize control of Venezuelan energy.
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