European defense stocks fell on Monday, extending declines as Ukraine and the U.S. made progress on peace proposals over the weekend.

The Stoxx Europe Aerospace and Defense index was 1.2% lower during morning deals, extending losses after falling more than 3.4% on Friday.

Germany's Rheinmetall , Hensoldt and Renk were all off around 4% at around 9:05 a.m. London time (4:05 a.m. ET), slipping toward the bottom of the pan-European Stoxx 600 index. Sweden's Saab fell nearly 3%.

Europe's benchmark natural gas prices, meanwhile, fell below 30 euros ($34.59) per megawatt hour on Friday morning, notching an 18-month low, according to LSEG data.

It comes after the U.S. said Sunday that there had been progress in peace talks at the weekend, which were attended by U.S. Secretary

See Full Page