Key points
- BAE Systems surged 14pc
- French defence group Thales won more than 16pc
- German peer Rheinmetall rallied 15pc
LONDON: Markets closed higher on Monday across Europe amid a charge in defence shares, according to Western media reports.
AFP reported that US stocks closed sharply lower Monday, after US President Donald Trump slapped fresh sanctions against China and levies on Mexico and Canada neared imposition, while European defence shares soared as the European Union sought increased military spending over Ukraine.
The White House said Trump had signed an executive order raising tariffs on China to 20 per cent, shortly after Trump seemed to rule out any change to the planned 25 per cent tariffs against Mexico and Canada.
“The tariffs, you know, they’re all set, they go into effect tomorrow,” Trump said at the White House when a reporter asked whether the levies against the two US trading partners would come into force on Tuesday.
London’s benchmark FTSE 100
In Europe, BAE Systems surged 14 per cent, helping London’s benchmark FTSE 100 index to a record high, the latest in a series over recent months, according to AFP.
French defence group Thales won more than 16 percent and German peer Rheinmetall rallied 15 percent.
European Commission chief Ursula von der Leyen warned on Sunday that “we urgently have to rearm Europe” as leaders from the continent met in London for crisis talks over Ukraine.
“It’s important we prepare for the worst,” she said, a few days after British Prime Minister Keir Starmer pledged to boost UK defence spending to 2.5 per cent of economic output by 2027.
