European equities closed firmly in positive territory on Monday as global markets reacted to the dramatic ouster of Venezuelan leader Nicolás Maduro over the weekend. The pan-European Stoxx 600 index ended the session 0.9% higher, with most major regional bourses also posting gains.

Investors were assessing the implications of the U.S. military operation that culminated in the capture of Maduro and his wife, who were subsequently flown to New York and indicted on drug-trafficking charges. While President Donald Trump stated the U.S. would administer Venezuela during a transition, Secretary of State Marco Rubio appeared to soften that stance on Sunday, emphasizing the use of diplomatic and economic leverage rather than direct governance.

Sector performance was mixed, with European defense stocks emerging as notable beneficiaries of the heightened geopolitical focus. The Stoxx Europe Aerospace and Defense Index surged to its highest level since early October, climbing 4%. Shares of Germany's Rheinmetall advanced 9.3%, Hensoldt AG gained 8.2%, and Italy's Leonardo rose 6.3%.

Among other significant movers, Swiss industrial valve manufacturer VAT Group led the Stoxx 600, jumping 12.1%. U.K.-based specialty chemicals and battery technology firm Johnson Matthey added 5.4%.

Oil prices edged higher as the market weighed potential disruptions to shipments from Venezuela, an OPEC member whose current production sits below one million barrels per day.

The positive sentiment in Europe mirrored a risk-on mood globally. Asia-Pacific markets reached record highs, fueled by rallies in defense stocks, while U.S. equity indices also advanced. Economic data in Europe was light, with only Spanish unemployment figures released during the session.