News: Defence Stocks Thrive on Wall Street as Trump Secures Arms Deal with Saudi Arabia

Defence stocks on Wall Street have received a boost from US President Donald Trump’s $110 billion weapons deal with Saudi Arabia over the weekend.

S&P 500 was up 0.51 per cent to 2,394, while Dow Jones rose 0.43 per cent to 20,894 and Nasdaq 0.82 per cent to 6,133.

Defence and aerospace stocks drove the gains with an increase of 1.5 per cent. The shares of Lockheed Martin and Boeing, the two companies who won the biggest contracts out of the deal, also increased 2.6 per cent and 1.6 per cent respectively. Raytheon was also up 0.6 per cent.

Technology companies also performed well, with Apple, Amazon and Microsoft driving the best gains on the S&P 500 Index.

Ford’s shares were up 1.7 per cent following the retirement of its CEO, Mark Fields, and massive reshuffle in the company. Field will be replaced by Jim Hackett, Ford’s current smart mobility chairman.