Defense Rally Pushes European Stocks Toward New Record

European defense stocks surged Monday, buoyed by the prospect of higher military spending, while global markets were largely subdued with the U.S. closed to mark Presidents Day. Stocks such as London-listed BAE Systems, as well as Germany's Rheinmetall and Renk, climbed more than 5%. The gains came after North Atlantic Treaty Organization allies said they needed to boost defense budgets to support Ukraine and deter Russia from any potential further attacks. Most Read from The Wall Street Journal The Stoxx Europe 600 index rose about 0.3% by late morning in London, putting it on course for a new record closing…