U.S. defense stocks opened in the red on Thursday, Feb. 20 following reports that President Donald Trump’s administration has ordered the Pentagon to lower its budget by 8% annually over the next five years.

The administration of President Donald Trump has ordered senior leaders at the Pentagon and throughout the U.S. military to develop plans for 8% cuts to the defense budget in each of the next five years,

The move could reduce defense spending projections by hundreds of billions of dollars over the next five years.