European defence stocks fall on signs of U.S. push over Ukraine war

RENK AG

19/11/2025 13:17

MILAN, Nov 19 (Reuters) - European aerospace and defence stocks fell more than 3% on Wednesday on signs of a fresh U.S.-led push to end the Russia-Ukraine war, which also lifted Ukraine's government bonds.

The STOXX Aerospace and Defence Index .SXPARO declined to its lowest level since early September, and was down 2.6% by 1322 GMT, marking its biggest one-day fall in over a month.

Shares in Rheinmetall RHMG.DE, Renk R3NK.DE, BAE Systems BAES.L, Leonardo LDOF.MI, Saab SAABb.ST were among the biggest fallers on a steady pan-European STOXX .STOXX index, with losses ranging from 4% to 7%.

Two traders pointed to a Politico report about a possible framework agreement over Ukraine as a trigger for the drop.

Ukraine has received "signals" about a set of U.S. proposals to end the war that Washington has discussed with Russia, a senior Ukrainian official told Reuters on Wednesday.

 (Reporting by Danilo Masoni, editing by Alun John)

 ((Danilo.Masoni@TR.com; Reuters Messaging: danilo.masoni.thomsonreuters.com@reuters.net))