Shares of defense and aerospace companies got a nice lift Monday, after President Donald Trump said his first budget will seek a big boost in defense spending. The iShares U.S. Aerospace & Defense ETF climbed 1.1% toward a record high, with 37 of 39 components trading higher. Trump said he would seek $54 billion in extra spending on defense, to be offset by decreases elsewhere, which he didn't mention. Among the ETF's most heavily weighted components, shares of Boeing Co. rallied 1%, of United Technologies Corp. tacked on 0.4%, of Lockheed Martin Corp. rose 1.5%, of General Dynamics Corp. gained 0.5% and of Raytheon Co. tacked on 1.4%. Of those five stocks, only United Technologies' wasn't trading in record territory. The biggest gainer within the ETF was Triumph Group Inc.'s stock , which shot up 3.4%. The only components not gaining were ManTech Interational Corp. , which was down 0.5%, and TransDigm Group Inc. , which eased less than 0.1%. The sector ETF has now run up 17% since the election while the S&P 500 has rallied 11%.
Continue Reading Below
Copyright © 2017 MarketWatch, Inc.