Trump’s Ukraine Pivot Fuels 100% Gains in World’s Defense Stocks
- Rheinmetall, Hanwha Aerospace and Hanwha Ocean have advanced
- Blistering stock rally has left valuations looking stretched
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Washington has made it clear that Europe needs to defend itself. For some investors, that’s a call to load up on defense stocks.
Security-related shares have been on a tear this year, with Germany’s Rheinmetall AG ranking as the best-performer in the MSCI World Index as money managers anticipate a jump in military spending. The buzz has spilled over into Asia, where South Korea’s Hanwha Aerospace Co. and its unit Hanwha Ocean Co. have both rallied over 100% to beat all their regional peers.