Indian shares continue to ride Modi rally; utilities, financials lead


By Chandini Monnappa

May 27 (Reuters) - Indian shares inched higher on Monday, boosted by gains in utility and financial stocks, as cheer over Prime Minister Narendra Modi's return for a second term in office continued to buoy investor sentiment.

Modi-led Bharatiya Janata Party (BJP) witnessed a landslide victory in the general election results on Thursday and markets have been jubilant over hopes that the prime minister would pursue business-friendly policies.

"We have a new government and we are seeing stock specific rally. There will be sectors which are likely to outperform and markets are now waiting for a new policy," said AK Prabhakar, head of research at IDBI Capital in Mumbai.

The broader NSE index .NSEI was up 0.35% at 11885.75 as of 0500 GMT, while the benchmark BSE index .BSESN was trading 0.42% higher at 39601.55.

Shares of NTPC Ltd NTPC.NS and Yes Bank Ltd YESB.NS were up over 4.5% each, while Power Grid Corporation India PGRD.NS was trading nearly 2% higher.

Industrial conglomerate Larsen & Toubro LART.NS, which started a hostile takeover bid for Bengaluru-based IT firm Mindtree Ltd MINT.NS in March, was among the top five gainers on the NSE index. The company on Friday increased its stake in Mindtree to over 28%.

Shares of Interglobe Aviation Ltd INGL.NS rose as much 1.9% to 1,653 rupees. Interglobe is scheduled to post quarterly results later in the day.

JSW SteelJSTL.NS and Bharti Airtel BRTI.NS were among the major losers, both inching nearly 2% lower.

(Reporting by Chandini Monnappa in Bengaluru; Editing by Rashmi Aich)

((; +91-82-6749-7919; Reuters Messaging:

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.