According to The Kobeissi Letter, Lockheed Martin (LMT) fell sharply after President Trump banned dividends and stock buybacks for defense companies "until problems are rectified" (Source: The Kobeissi Letter, X post dated Jan 7, 2026). With dividends and buybacks halted, near-term shareholder cash returns in the defense sector are eliminated, and traders are watching for broader risk sentiment spillover that could influence crypto given the documented post-2020 rise in equity-crypto correlations (Source: The Kobeissi Letter; Source: International Monetary Fund, 2022 Global Financial Stability analysis on increasing crypto-equity correlation).

According to @KobeissiLetter, President Trump stated that executives of US defense contractors will be limited to $5 million in compensation unless companies build new and modern production plants, source: @KobeissiLetter on X, Jan 7, 2026. Trump also said dividends and stock buybacks for defense companies are banned until these problems are rectified, directly halting stated capital return programs in the defense sector, source: @KobeissiLetter on X, Jan 7, 2026. The statement pertains to US defense companies and contains no reference to cryptocurrencies or digital assets, indicating no direct crypto policy element in the announcement, source: @KobeissiLetter on X, Jan 7, 2026.