Shares of Huntington Ingalls Industries (HII), the nation's largest military shipbuilder, soared by 6.85% in pre-market trading on November 6, 2024, following the victory of former President Donald Trump in the 2024 presidential election.
Investors appear to be betting on increased defense spending and contracts under a new Republican administration led by Trump, who has stated his full support for the ongoing war in Gaza. This signals a potential shift from the Biden administration's approach, which paused certain arms shipments to Israel due to concerns over the humanitarian crisis in the region.
Along with Huntington Ingalls, other major defense contractors, including Lockheed Martin, Raytheon Technologies, Northrop Grumman, General Dynamics, L3Harris Technologies, Howmet Aerospace, TransDigm Group, and Leidos Holdings, also saw significant gains in pre-market trading, reflecting investor optimism about the defense industry's prospects under a Trump presidency.
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