European defense stocks soared on Thursday after Germany’s foreign minister confirmed the country would meet the NATO defense spending target of 5% of GDP. This revelation has fueled optimism in the defense sector, as investors anticipate increased budgets and contracts for defense firms. As global tensions continue to rise, this commitment from a leading European nation signals stability and potential growth for defense investments. Stakeholders watching these developments should consider the broader implications for the industry. Such commitments could translate into significant business opportunities for defense contractors. Monitoring Germany’s actions, along with other NATO countries, will be key for investors seeking to capitalize on this trend. The alliance’s renewed focus on defense spending may reshape market dynamics moving forward.