We're Running Out of Missiles
In 1980, President Jimmy Carter's CIA spent close to $100 million shipping weapons to Afghanistan.
All of it went to mujahedeen rebels trying to expel the Soviets.
While that may sound like a lot, it's just a drop in the bucket for the U.S., which spent $168 billion on defense alone that year.
The U.S. commitment seemed just enough to make the conflict painful and costly for the Soviets. But the Afghan rebels were still facing overwhelming odds...
You see, the Soviet Union had nearly every possible advantage... It had a larger army, better-trained soldiers, and superior weapons. At the start of the war, many Afghan soldiers had weapons that were left over from World War II.
By the mid-1980s, President Ronald Reagan changed course. No longer content to help the Afghan rebels "bleed" the Soviets, he wanted to deliver a death blow to his country's longtime foe. So Reagan decided to crank up the spending for weapons and aid... eventually upping the ante to $700 million a year.
And his administration made its most critical decision – sending the mujahedeen new missiles called Stingers.
Throughout the war, the Soviets had maintained air dominance. In particular, the Hind attack helicopter became the most feared weapon in their arsenal. These aircraft were heavily armored and impervious to the typical weapons wielded by mujahedeen fighters.
As a result, the Hinds wreaked havoc, bombing and shooting down anyone and everything trying to cross the border. These helicopters also allowed Soviet troops to move freely through the country.
The U.S. knew the Afghan rebels needed to deal with the Hinds if they were to have a shot at winning. The Stingers would give them that chance.
The Stinger is a remarkable piece of weaponry... It's a 34-pound shoulder-fired missile with a range of several miles. It's highly accurate because it uses an infrared seeker to lock onto the heat in an engine's exhaust. The missiles travel at twice the speed of sound and will hit nearly anything flying below 11,000 feet.
Since it's a "fire and forget" weapon – meaning the gunner doesn't have to do anything once it's fired – a soldier can quickly take cover or engage a new target.
The Stingers changed everything. Experts later called them "the war's decisive weapon."
According to one report, the mujahedeen guerrillas downed 269 aircraft in 340 firings – an average hit rate of 79%... not bad for something you sling over your shoulder.
The Soviets no longer controlled the skies. And that was the beginning of the end of the war.
The mujahedeen received roughly 300 Stinger missiles in 1986 and 700 more in 1987. It's estimated that by the time the Soviet Union signed a 1988 accord to withdraw its troops, the CIA had sent roughly 2,500 Stinger missiles in total.
Today, the U.S. spends significantly more on foreign military aid and provides its elite missiles to countries around the world. One estimate put the amount of U.S. aid to Ukraine – from the Council on Foreign Relations – at more than $100 billion since 2022.
A lot of that was missiles, including Stingers... which helped Ukraine fend off Russian aircraft in the war's early years.
But the U.S. is facing a munitions crisis...
Between the war in Ukraine and fresh conflicts in the Middle East, our stockpiles have dwindled, particularly of America's Patriot missile-defense system and the Terminal High Altitude Area Defense ("THAAD") system.
Earlier this summer, news outlets reported that munitions stockpiles are "beyond critical." While officials in President Donald Trump's administration said these fears are overblown, it's clear that America needs to ramp up its missile production.
Earlier this week, Secretary of Defense Pete Hegseth signed a deal that will allow more German manufacturing of U.S.-based weapons. And the U.S. spending bill for 2027 would increase the defense budget to more than $1 trillion – the largest ever.
And, days from now, a group of military elites will essentially handpick the defense companies that will be tasked with replenishing America's munitions stockpile.
My colleague Joel Litman – from our corporate affiliate Altimetry – says household-name contractors will get the headline contracts... but they won't make the biggest stock moves. Joel predicts more action from the tiny suppliers underneath them. Even a small piece of this spending boom is enough to transform these businesses and unlock massive gains for their stocks.
In his upcoming America Unleashed event, Joel will share more about his thesis and how it could bring triple- or even quadruple-digit gains. He'll even share the name and ticker symbol of one company at the center of this story.
It's coming on September 24, and it's free to attend.
Now, let's get to this week's Q&A... And as always, keep sending your comments, questions, and topic suggestions to feedback@healthandwealthbulletin.com. My team and I read every e-mail.
How to Fund Your Child's Future
Q: Is opening a Trump account worth it vs. a 529 or even just a custodial account? – R.C.
A: Thanks for your question, R.C. If you're deciding which of these accounts is best to open for your children or grandchildren, you need to consider what you want the money to be used for in the future. But all three can be part of a plan to set the next generation on the path to wealth early.
A provision in President Trump's "Big Beautiful Bill" created a new IRA program called "Trump Accounts." U.S. citizens born in 2025 through 2028 can get a one-time $1,000 government contribution for an account opened in their names. And family members can add up to a combined $5,000 per year.
A Trump Account's money must be invested in low-cost index funds holding all or mostly U.S.-based companies.
The money grows tax-deferred and stays invested until the child turns 18. Then the account turns into a traditional IRA.
A 529 savings plan is focused on paying for college. Earnings are exempt from federal taxes, they compound tax-free, and withdrawals made for qualifying college costs (like tuition, fees, and room and board) are also tax-free. A couple can gift $38,000 for a single account in 2026 without having to report the contribution.
If you don't need the funds for education, you can roll them over to a Roth IRA or withdraw them. But such withdrawals will face taxes and penalties.
Finally, a custodial account allows you to save and invest on your child's behalf. There are no limits to how much you can contribute or how the money is spent.
The account turns over to the child when they reach a certain age (between 18 and 25, depending on the state) and becomes a regular investment account. There may be some paperwork to make the transition happen.
The main advantage of these accounts is time...
As longtime readers know, compounding is a powerful way to grow your money. Even relatively small contributions made early in life can snowball into larger amounts down the road.
If you have young children or grandchildren, consider putting some money into any combination of these accounts today.
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Here's to our health, wealth, and a great retirement,
Dr. David Eifrig and the Health & Wealth Bulletin Research Team
September 18, 2026