FTSE 100 Hits Record High as Defence Stocks Rally.
A sharp rally in defence shares lifted Britain's FTSE 100 to record highs on Monday, driven by investors' optimism over a potential military spending surge in Europe. Defence companies such as BAE Systems and Rolls-Royce Holdings saw significant gains, while the aerospace & defence index jumped 8.1% to a record high. The sector has soared over 25% so far this year, boosted by safe-haven buying and concerns over Trump's tariff policies.
- The surge in defence stocks highlights the increasingly complex interplay between geopolitics and financial markets, where a shift in investor sentiment can rapidly impact asset prices.
- What role will emerging economies play in shaping global military spending trends, and how might this influence market dynamics in the aerospace industry?