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month values ▾
| Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec |
|---|---|---|---|---|---|---|---|---|---|---|---|
| +0.30 | +0.30 | +0.20 | -0.13 | +0.10 | +0.10 | -0.12 | +0.10 | +0.10 | +0.10 | +0.20 | +0.20 |
Gates's April weapons cuts (F-22 capped at 187, Future Combat Systems and VH-71 killed) hurt the primes' program pipeline, partly offset by the December Afghanistan surge in operations spending.
How this mood is scored ▾
Defense Secretary Robert Gates proposed a $534 billion FY2010 budget prioritizing counterinsurgency and irregular warfare capabilities, cutting legacy systems like the F-22 Raptor and presidential helicopter program. The shift targets current threats in Iraq and Afghanistan, favoring drones, helicopters, and troop health, but faces resistance from defense contractors and lawmakers concerned about jobs and strategic readiness.
The Senate voted 58-40 to cut $1.7 billion for additional F-22 Raptor jets, aligning with President Obama and Defense Secretary Gates' push to end the program at 187 units. The move signals a shift in defense spending priorities toward current war efforts and away from legacy systems, though job losses and House-Senate reconciliation remain unresolved. Market implications include potential reallocation of defense contracts toward programs like the F-35.