The actions of the defense industries fly into European scholarships

Due to the geopolitical situation and the European desire to continue to support Ukraine, European defense and armaments companies see their rating on the stock market increase.

The leaders of the European Union were committed, Sunday, March 2 in London, to support Ukraine. Defense companies immediately jumped on the stock market, allowing the CAC 40 to reach summits. Since this weekend, the actions of defense and armament companies have recorded strong increases, 16% for Thales which makes radars, 15% for Dassault Aviation producer of Rafale, 5% for Airbus, 3% for Safran which provides drones. Enough to boost the CAC 40 which finished nearly 8,200 points on Monday. A situation never seen since May 2024.
An identical phenomenon in all European places. In London, Monday, the British Bae System who makes planes, also saw his title fly by almost 15%, more
16% for the manufacturer of German tanks and ammunition Rheinmetall, 10% for the Italian Leonardo.

Investors know that governments will place major orders to all these firms and that it is a placement that will report. Especially since the president of the European Commission, Ursula von der Leyen announced that she would present a plan to “rearm Europe” on Thursday at a special union of the Union in Brussels. On Monday, this announcement also boosted the Euro, which won 1% against the dollar.
Defense companies attract private investors. This is good news at a time when public money is lacking, but it’s not all to have orders, you still have to honor them! Which means producing mass and faster. Most of these groups have already accelerated the rates, reduces deadlines. We see it for the construction of radars, Caesar cannons of Nexter, for the missiles of the MBDA group. Will they succeed in going to be a notch above? The Ministry of the Armed Forces is how to involve civilian industrial channels, especially automobiles, to make, for example, thousands of drones very quickly. He also seeks to relocate production sites, as in Bergerac where we do powder. About twenty projects are being studied.

It’s not just a question of budget. Éric Lombard, the Minister of the Economy, works on a plan to find money, but that’s not all! Our defense industry lacks arms, brains. According to a study by the Directorate General of the Armed Forces, 10,000 positions are immediately to be filled in France. These recruitment problems are an obstacle to respond to the challenges of the war economy.