European defence shares rally after US action in Venezuela

Saab AB

05/01/2026 09:35

** Shares in European defence companies rise after the U.S. launched a military intervention in Venezuela

** Jefferies says the U.S. move in Venezuela may shift its policy focus to Greenland, reinforcing calls for higher European defence spending

** A potential Ukraine ceasefire remains an overhang for the sector, though the broker adds that valuations appear to have largely priced in this risk since late 2025

** Rheinmetall RHMG.DE, Hensoldt HAGG.DE, Leonardo LDOF.MI, SAAB SAABb.ST, Indra Sistemas IDR.MC all rise between around 6% and 7%

** BAE Systems BAES.L is up around 4%

 (Reporting by Maria Rugamer)

 ((Maria.Rugamer@thomsonreuters.com))