Cyber security stocks rise in wake of global ‘ransomware’ attack


A global “ransomware” attack disrupting factories, hospitals, shops and schools spurred investors on Monday to buy stocks expected to benefit from a pickup in cyber security spending by companies and government agencies.

The cyber attack began spreading across the globe on Friday and by Monday had infected 300,000 computers in more than 150countries.

“These attacks help focus the minds of chief technology officers across corporations to make sure security protocols are up to date, and you often see bookings growth at cyber security companies as a result,” said Neil Campling, head of technology research at Northern Trust.

Investors treated the attack as a buying opportunity for security stocks rather than a cause for concern over the risk it posed to companies, with the pan-European STOXX 600 index closing higher and major U.S. indices also up.

 

 

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Source: Reuters.