Shares of EU and US defence companies rise as Israel goes to war with Palestine

Shares of European and US defence companies have risen in value against the backdrop of the war between Israel and Hamas, The Financial Times reports.

Shares of Swedish aircraft manufacturer Saab rose in price by 8.6 percent, whereas the US-based Lockheed Martin Corporation reported a rise by almost 5 percent on its shares.

During the trading on October 9, shares of Italian helicopter maker Leonardo and German tank manufacturer Rheinmetall also increased by more than 4.5 percent.

The growth in quotations is taking place against the backdrop of a sharp aggravation of the crisis in the Middle East. On the morning of October 7, Hamas conducted an unprecedented rocket attack on Israel.

Israel declared a state of war and mobilised 300,000 reservists in 48 hours. On October 9, Israeli officials said that the Gaza Strip would be besieged completely.