After a loud bang woke Mikhail Ryumin up, he saw a terrified rat in his truck...
The 55-year-old truck driver had pulled off the road to take a nap. Soon after that, he heard the noise. And when he went to check his cargo, he couldn't believe his eyes...
The top of his trailer had blown off. And dozens of drones were flying out of it.
Ryumin didn't know a big secret...
His employer worked for the Ukrainian government. And he was part of a daring military attack called "Operation Spiderweb."
Ryumin set out to deliver his cargo on June 1. His intended destination was near a Russian air base. Four other drivers took on similar jobs.
That afternoon, all five trailers opened around the same time. A total of 117 drones shot out of their roofs.
Ukrainian soldiers safely piloted the drones from thousands of miles away.
Each drone connected to Russia's local 4G network. The technology wasn't much different from how you use a video app like Zoom or FaceTime in your living room.
The most successful leg of the attack happened at the Belaya air base in southeast Russia...
The drones from this truck hit seven or eight of Russia's most valuable long-range bombers. They targeted the planes' fuel tanks – causing them to explode.
Ukraine claims it damaged a total of 41 Russian planes worth an estimated $7 billion. But journalists could only confirm the destruction of 12 or 13 aircraft. (That's still about 20% of Russia's long-range aircraft, according to the Financial Times.)
Regardless of the exact numbers, Ukraine pulled off a meticulous attack. The plan involved more than 18 months of preparation. And Ukraine's agents executed it perfectly.
Russian officials arrested Ryumin and the other drivers. They charged the men with taking part in a terrorist act. The men could spend the rest of their lives in prison.
These days, global superpowers are learning just how effective drones can be. They're cheap to use. And they allow countries to attack or defend themselves without risking human lives.
It's clear that the use of this technology will only grow in the coming years...
This Attack Only Cost $234,000 in Drones
Ukraine's security service smuggled the drones into Russia in pieces...
Inside enemy territory, agents assembled the drones. Then, they loaded them into the cabins for delivery.
By the day of the attack, all the involved agents had safely exited Russia. And they left the Russian men they had hired as drivers to unknowingly complete the mission.
The Wall Street Journal called the attack a "modern version of the Trojan horse." Its success shocked many defense experts – especially given the distance involved...
Some of the Russian air bases are more than 3,000 miles from Kyiv. To put that into perspective, New York City and Los Angeles are less than 2,800 miles apart.
In short, Ukraine scored a huge win against Russia's military. And it did that without risking any of its troops' safety.
Notably, Ukraine used drones that only cost around $2,000 each.
It deployed 117 drones in the attack. So that means it only spent about $234,000 overall. And again, the estimated damage was up to $7 billion.
Operation Spiderweb is the latest example of drones changing warfare. And of course, one specific industry is driving this change...
The Power Gauge's Current Take on Defense
I'm talking about the aerospace and defense industry...
At Chaikin Analytics, we track this industry's performance through the SPDR S&P Aerospace & Defense Fund (XAR).
This exchange-traded fund ("ETF") holds the stocks of roughly 40 companies in this industry. Its most recognizable holdings include RTX (RTX), GE Aerospace (GE), General Dynamics (GD), and Lockheed Martin (LMT).
Today, the Power Gauge likes what it sees with XAR. Right now, the fund is "very bullish" overall.
Our one-of-a-kind system is currently "bullish" or better on 19 companies within XAR. And it's "bearish" or worse on just three stocks.
XAR is crushing the broad market, too...
Since the start of 2025, the ETF is up about 50%. That's more than three times the benchmark S&P 500 Index's roughly 17% return over the same period.
That brings us to my point...
Military conflicts will continue to happen. It's one of the unfortunate facts of life.
No one wants to celebrate that. But demand for this industry isn't going anywhere.
As investors, we're always looking for ways to take part in stable, long-term trends. And the Power Gauge is clear today, folks...
Aerospace and defense stocks are a great place to look for opportunities.
Good investing,
Marc Chaikin
