Shares of India’s defence companies, Garden Reach Shipbuilders, Data Patterns, Cochin Shipyard, Mazagon Dock Shipbuilders, Hindustan Aeronautics, among others have surged between 5% and 8% on Monday, April 28.Tensions remain at the Line of Control (LoC) between India and Pakistan after the Pahalgam Terror Attack, as there were incidents of multiple ceasefire violations from across the border over the weekend.
India has taken several steps in the aftermath of the attack, including putting the Indus Water Treaty in abeyance, stopping activities at the Wagah Border and asking Pakistani citizens to leave the country.
Defence Minister Rajnath Singh is set to meet Prime Minister Narendra Modi at 11 AM today.
Defence stocks are also in focus as India and France will formally announce the conclusion of the deal for 26 Rafale-M fighter jets on Monday. The deal is valued at close to ₹63,000 crore.Reports indicate that deliveries of the jets will begin in around three-and-a-half years once the contract is signed and will be completed in around six-and-a-half years.Shares of Data Patterns are the top gainers on the Nifty 500 index on Monday, trading with gains of 9%.Shares of Garden Reach, Cochin Shipyard and Bharat Dynamics have also surged 7.8%, 5.5% and 4.8% respectively.Six out of the top 10 gainers on the Nifty 500 index on Monday are Defence stocks.
