On Monday the U.S. State Department approved the sale of $1.29 billion in smart bombs to Saudi Arabia, which it needs to help boost supplies that were used in airstrikes against ISIS and in its battle against insurgents in Yemen, according to the Pentagon.
The proposed sale includes thousands of smart and general purpose bombs, the Pentagon's Defense Security Cooperation Agency (DSCA), said in a statement on Monday.
"Given the likely military operations that result from the Paris attack, and worsening tensions in the Middle East, there are few doubts that defense spending in the West and in export markets will continue to rise. One big driver behind investor sentiment is the need to replace precision guided munitions already expended in the various conflicts underway," vice president of analysis at Teal Group, Richard Aboulafia
Meanwhile in Europe, tensions are running high amid more security concerns following the Paris attacks on Friday which left 129 people dead.