European Defense Stocks Slide on Push for Peace in Ukraine, Gaza

European defense stocks tumbled on Tuesday as Donald Trump’s renewed push for peace in Ukraine and an agreement by Hamas to a truce deal in Gaza put the brakes on their powerful rally.

A Goldman Sachs Group Inc. basket of European defense stocks dropped as much as 5.7% after the news. In Germany, tank and ammunitions supplier Rheinmetall AG slid as much as 4.9% while gearbox maker Renk Group AG hit its lowest since May.