RTX Shares Jump Over 4% on Middle East Strikes and Gas Price Surge
RTX shares climbed over 4% on Monday after the US and Israel launched Operation Epic Fury strikes on Iran, spurring a defense sector rally. Reacting to a Qatar drone strike halting Ras Laffan LNG output, European gas futures jumped 39%, heightening energy security concerns that boosted defense demand.
1. Operation Epic Fury Drives Geopolitical Tension
The US and Israel launched Operation Epic Fury strikes on Iran targeting nuclear and military sites, escalating regional conflict after nuclear talks ended without agreement and contributing to elevated defense spending expectations.
2. Qatar Drone Strike Halts Ras Laffan LNG Output
Iranian drones struck Ras Laffan, the world’s largest LNG export facility, forcing force majeure and cutting off roughly one-fifth of global LNG supplies, which sent European gas futures up 39% to €44.51 per megawatt-hour.
3. Defense Stocks Rally, RTX Surges Over 4%
Heightened energy security and renewed military activity drove defense sector gains, with RTX shares climbing over 4%, Northrop Grumman up 4.9% and other peers rising between 2% and 5% on prospects of increased defense budgets.