European construction firms to benefit from US attacks

Shares in European security and construction-related firms have climbed on expectations that demand for their products and services will rise as the US rebuilds from Tuesday’s terrorist attacks.

Since the attacks, a number of British-based construction-related companies, such as British glass manufacturer Pilkington have outperformed the overall market.

However, while the search for survivors continues, it has become clear that major construction will have to begin soon to replace Manhattan's destroyed downtown office centre.

The majority of European companies that look set to benefit from the disaster are likely to supply materials, both for the long-term rebuilding and for more immediate repairs to buildings less damaged.

Dealers have said that as a result of these expectations share prices of the companies had found underlying support. (MB)