Investment is shifting from US markets to Europe

Euronext CEO Stéphane Boujnah has highlighted a significant trend of U.S. investments moving to Europe. In an interview with Euronews Business, he stated that Europe is seen as a "safe harbour" for investors looking for stability. This shift is partly due to "uncertainty and volatility" in the U.S., which has made European markets more attractive. Boujnah noted that even though Europe's GDP growth may be perceived as weaker than that of the U.S., investors are drawn to its predictability. One major area of investment in Europe is the defence sector, which has gained attention as European leaders discuss defence spending during the ongoing EU Summit in Brussels. He reported that share prices for companies in the defence sector, like Germany's Rheinmetall, France's Thales, and Italy's Leonardo, have surged recently. Boujnah predicts this trend will continue as Europe reorganizes its defence policy. Additionally, American investment bank Morgan Stanley has increased its price target for Rheinmetall shares from €1,300 to €2,000. They even suggested the stock could reach €3,000 if European defence spending increases significantly. Euronext is experiencing strong growth across all asset classes, particularly in the defence sector.