NEW YORK, New York - U.S. defense stocks boosted the industrial indices on Thursday. The sector was buoyed by President Donald Trump's announcement that the annual budget for defense spending will increase by 50 percent from near $1 trillion to $1.5 trillion.

"After long and difficult negotiations with Senators, Congressmen, Secretaries, and other Political Representatives, I have determined that, for the Good of our Country, especially in these very troubled and dangerous times, our Military Budget for the year 2027 should not be $1 Trillion Dollars, but rather $1.5 Trillion Dollars," the president posted on Truth Social Wednesday night.. "This will allow us to build the 'Dream Military' that we have long been entitled to and, more importantly, that will keep us SAFE and SECURE, regardless of foe," Trump said.

The Dow Jones Industrial Average (^DJI) led the gainers Thursday, climbing 270.03 points, or 0.55 percent, to close at 49,266.11. 

In contrast, the tech-heavy NASDAQ Composite (^IXIC) struggled, falling 104.26 points, or 0.44 percent, to end the session at 23,480.02. The decline reflected a pullback in several major technology names amid ongoing sector rotation.

The broader Standard and Poor's 500 (^GSPC) finished the day essentially flat, eking out a minimal gain of 0.52 points, a rise of just 0.01 percent. It closed at 6,921.45, demonstrating the index's mixed exposure to both advancing and declining sectors.

 U.S. Dollar Gains Ground in Thursday Trading as Major Currencies Weaken

The U.S. dollar broadly strengthened against major currencies in Thursday's foreign exchange market, with commodity-linked currencies facing particular pressure.

The euro continued its recent decline against the greenback. The EUR/USD pair fell a further 0.19 percent to trade at 1.1651, reflecting ongoing market concerns about the eurozone's economic outlook.

The British pound also lost ground to the dollar Thursday. The GBP/USD pair declined by 0.16 percent, last changing hands at 1.3434.

The Australian and New Zealand dollars were among the day's notable underperformers. The AUD/USD pair dropped 0.34 percent to 0.6697, while the NZD/USD pair fell 0.37 percent to 0.5749, as risk sentiment weighed on the commodity-linked currencies.

The U.S. dollar also posted gains against several key counterparts. The USD/JPY pair rose 0.15 percent to 156.98, approaching recent multi-decade highs. The dollar also strengthened against the Swiss franc, with the USD/CHF pair climbing 0.22 percent to 0.7994.

Against the Canadian dollar, the U.S. currency saw a marginal gain. The USD/CAD pair edged up 0.03 percent to 1.3864.

Global Stock Markets Show Mixed Results in Thursday's Trading Session

Global stock indices delivered a mixed performance on Thursday, with markets across Canada, the UK, Europe, Asia, and the Pacific Rim diverging as investors weighed regional economic signals.

Canada's benchmark index posted strong gains. The S&P/TSX Composite Index (^GSPTSE) surged by 243.15 points, or 0.76 percent, to finish at 32,378.64. The robust performance was supported by strength in the energy and materials sectors.

The UK's FTSE 100 (^FTSE) edged lower, closing at 10,044.69, down 3.52 points or 0.04 percent. 

In Europe, the major benchmarks ended the session with minimal movement. Germany's DAX Performance-Index (^GDAXI) managed a slight gain, adding 5.20 points (0.02 percent) to finish at 25,127.46. In France the CAC 40 (^FCHI) rose 9.55 points, or 0.12 percent, to 8,243.47.

Broader European indices faced modest pressure Thursday. The EURO STOXX 50 (^STOXX50E) declined by 19.25 points, or 0.32 percent, to 5,904.32. The Euronext 100 Index (^N100) fell 6.40 points (0.36 percent) to 1,752.48.

In Belgium the BEL 20 (^BFX) was a positive outlier, gaining 7.82 points (0.15 percent) to close at 5,228.77.

Asian and Pacific markets painted a more varied picture on Thursday. Hong Kong's Hang Seng Index (^HSI) fell sharply, dropping 309.64 points or 1.17 percent to 26,149.31.

Japanese stocks were also a major decliner, with the Nikkei 225 (^N225) tumbling 844.72 points, or 1.63 percent, to close at 51,117.26.

In India, the  S&P BSE SENSEX (^BSESN) also saw significant selling, down 780.18 points (0.92 percent) at 84,180.96.

Other Asian markets posted smaller losses. Singapore's STI Index (^STI) dipped 0.18 percent to 4,739.07.

In Indonesia the IDX Composite (^JKSE) slipped 0.22 percent to 8,925.47. Malaysia's FTSE Bursa Malaysia KLCI (^KLSE) retreated 0.43 percent to 1,669.57. In Taiwan Thursday the TWSE Index (^TWII) closed at 30,360.55, down 0.25 percent.

In contrast, Australian markets finished in positive territory. The S&P/ASX 200 (^AXJO) rose 0.29 percent to 8,720.80, and the broader ALL ORDINARIES (^AORD) gained 0.32 percent to 9,046.50.

In New Zealand the S&P/NZX 50 (^NZ50) was virtually flat Thursday, adding a marginal 0.01 percent. South Korea's KOSPI Composite (^KS11) inched up 0.03 percent to 4,552.37.

In the Middle East, Israel's TA-125 (^TA125.TA) fell 0.39 percent to 3,878.85. Egypt's EGX 30 (^CASE30) was a standout gainer, climbing 313.30 points, or 0.75 percent, to 41,856.80.

(This report incorporates quotes retrieved with the assistance of artificial intelligence).

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