European Stocks Close at Records, Defense Soars
European stocks closed sharply higher on Monday, supported by the European consensus to raise defense spending and oversee a ceasefire deal between Ukraine and Russia.
The Eurozone's STOXX 50 surged 1.6% to a record high of 5,551 while the STOXX 600 advanced 1.2% to a record high of 564. European policymakers met over the weekend to plan a potential peace deal for Ukraine and pledged to raise military spending so that such deal can be sustained.
Aircraft manufacturer Airbus soared 6% while Nokia added 5.8% after announcing it will deploy 5G solutions for military applications together with Lockheed Martin. Regarding components of the broader STOXX 600, military aircraft manufacturers Leonardo and Dassault surged over 15%, while military software and electronics producer Thales and weapons manufacturer Rheinmetall also added more than 16%. Other sectors also traded sharply higher. On the data front, Eurozone inflation slowed to 2.4% in February.
Source: Trading Economics