Defense stocks are surging following the U.S. move to oust and capture Venezuelan leader Nicolas Maduro. The sector had already performed strongly last year due to rising defense spending amid escalating geopolitical tensions.
President Trump has revived the Monroe Doctrine of the 1820s, emphasizing the need for U.S. dominance in the Western Hemisphere, and has referenced Colombia and Cuba in recent remarks. He also stated, “We need Greenland, from the standpoint of national security.”
Rising tensions between China and Taiwan, between India and Pakistan, and ongoing conflicts across the Middle East are already driving a renewed global focus on rearmament, with the potential to push military spending even higher.
This post originally appeared at Zacks.