What stocks went up during WW2?
The outbreak of World War II had a profound impact on the global economy, with some stocks soaring while others plummeted. This article delves into the various sectors that experienced growth during the war years, highlighting the stocks that investors should have considered for their portfolios. Understanding the dynamics of the stock market during this tumultuous period can provide valuable insights into how markets respond to crisis and geopolitical events.
1. Defense and Aerospace Stocks
One of the most significant beneficiaries of World War II was the defense and aerospace industry. As the demand for military equipment, aircraft, and other defense-related products surged, companies in these sectors saw their stock prices skyrocket. Notable companies included:
– General Electric: As a major supplier of aircraft engines and military equipment, General Electric’s stock saw significant growth during the war.
– Lockheed Martin: The predecessor of Lockheed Martin, the Lockheed Corporation, played a crucial role in the production of fighter planes and other military aircraft, boosting its stock value.
– Northrop Grumman: The company, known today as Northrop Grumman, was involved in the production of military aircraft and defense systems, leading to a surge in its stock price.
2. Industrial and Materials Stocks
The war effort also created a high demand for industrial and materials stocks, as countries needed to produce the necessary goods and supplies to sustain their war efforts. Some key sectors included:
– Steel Companies: Steel was essential for the production of military equipment and infrastructure. Companies like U.S. Steel and Bethlehem Steel experienced a surge in stock prices.
– Chemical Companies: Chemical companies played a vital role in producing explosives, fuels, and other essential war materials. DuPont and Hercules were among the companies that saw their stock prices rise during the war.
– Aluminum Companies: Aluminum was used in the production of aircraft and other military equipment. Alcoa and Reynolds Aluminum were notable beneficiaries of the war’s demand for aluminum.
3. Utilities and Infrastructure Stocks
As countries focused on the war effort, the importance of infrastructure and utilities increased. Stocks in these sectors also experienced growth during the war:
– Utility Companies: With the increased demand for electricity and other utilities to support the war effort, utility companies saw their stock prices rise. Companies like Consolidated Edison and Duke Energy were among the beneficiaries.
– Transportation Companies
