Defence stocks rally for second day amid India Pakistan tension
Defence-related stocks extended their gains for a second consecutive session on Monday, buoyed by broader market optimism and rising expectations of increased government focus on the defence sector.
Shares of Axiscades Technologies jumped 5 per cent, while Data Patterns (India) Ltd rose 3.88 per cent. Mishra Dhatu Nigam Ltd gained 3.40 per cent, and Bharat Electronics Ltd rallied 2.23 per cent. Other notable gainers included DCX Systems, which advanced 1.61 per cent, and Garden Reach Shipbuilders & Engineers Ltd, up 1.37 per cent on the BSE.
Drone manufacturing companies
also saw strong interest. Ideaforge Technology Ltd surged 6.09 per cent, and Droneacharya Aerial Innovations rose 4.99 per cent, news agency PTI reported.
The rally in
defence stocks
mirrored a sharp rebound in the broader market. The benchmark 30-share BSE Sensex soared 2,975.43 points, or 3.74 per cent, to settle at a seven-month high of 82,429.90. During the day, it spiked 3,041.5 points, or 3.82 per cent, to an intraday high of 82,495.97.
Similarly, the
NSE Nifty 50
jumped 916.70 points, or 3.82 per cent, to close at 24,924.70, after touching an intraday peak of 24,944.80, up 936.8 points.
The positive sentiment in defence stocks followed recent geopolitical developments. India and Pakistan announced on Saturday an understanding to halt all military actions across land, air, and sea borders, a move expected to ease tensions.
This came after India launched 'Operation Sindoor' on May 7, targeting nine terror infrastructure sites in Pakistan and Pakistan-Occupied-Kashmir in response to the recent terror attack in Pahalgam.
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