Defence Stocks Move Higher As Israel Attacks Iran

Leading U.S. defence stocks such as Lockheed Martin (LMT), L3Harris Technologies (LHX), and RTX Corp. (RTX) are rising after Israel launched targeted attacks on Iran. Media reports say that Israel attacked Iran overnight on June 13, targeting nuclear facilities and military sites. While the attacks have sent global stock markets in Europe, Asia and the U.S. lower, they have led to a surge in the share prices of defence contractors. LMT, RTX and LHX stocks are each up about 5% on news of the largest attack on Iran since the Iran-Iraq war in the 1980s.Israel itself has declared a state of emergency as Iran retaliated early on June 13 with a massive drone strike. Some media pundits have raised the prospect of all-out war between Israel and Iran. While U.S. defence stocks are gaining on news of the military conflict, it appears that Israel has carried out this latest attack on Iran independent of America. U.S. President Donald Trump has said that the American military has not been involved in the attack on Iran. Israel currently employs Lockheed Martin’s F-35 stealth fighter jets and other state-of-the-art U.S. military equipment and weapons. In addition to defence stocks, the price of gold is up 1.3% to $3,444 U.S. an ounce and Brent crude oil, the international standard, is up nearly 10% to $75.14 U.S. per barrel.