To know how bad the state of the world is, sometimes all you need to do is look at the development of stock prices. The more dramatic the events, the better the shares of companies that produce defense equipment often perform. This was the case after the Russian attack on Ukraine in February 2022. And it was no different in the days after Hamas’ brutal terrorist attack on Israeli civilians: the scenario of a new major conflict in the Middle East caused the shares of US defense companies such as Lockheed Martin, Northrop Grumman and General Dynamics to skyrocket. And it is no coincidence that European defense companies also followed suit: the shares of Düsseldorf-based tank builder Rheinmetall, for example, rose from 250 euros to over 270 euros within a week. If there is war somewhere, stock marketers expect that sales and turnover in the industry will increase.
Where German and Israeli defense companies cooperate everywhere – business
