Key defence and drone stocks witness sharp gains amid broader market rally
New Delhi, May 12 – Defence-related stocks saw robust gains on Monday, buoyed by a strong rally in the equity markets and growing investor confidence in the sector’s future prospects. This marked the second consecutive session of positive momentum for defence counters, driven by expectations of increased strategic focus on domestic defence manufacturing.Defence and Drone Stocks Outperform
Among the notable gainers on the BSE:- Axiscades Technologies surged by 5 percent
- Data Patterns (India) Ltd advanced 3.88 percent
- Mishra Dhatu Nigam Ltd rose 3.40 percent
- Bharat Electronics Ltd added 2.23 percent
- DCX Systems gained 1.61 percent
- Garden Reach Shipbuilders & Engineers Ltd climbed 1.37 percent
- Ideaforge Technology Ltd rallied 6.09 percent
- Droneacharya Aerial Innovations increased by 4.99 percent
Market Rally Lifts Sentiment
The broader market sentiment was buoyant, with benchmark indices posting their largest single-day gains in months:- The BSE Sensex surged 2,975.43 points or 3.74 percent to close at 82,429.90, hitting a more than seven-month high. In intraday trading, it peaked at 82,495.97, up 3,041.5 points or 3.82 percent.
- The NSE Nifty 50 leapt 916.70 points or 3.82 percent to end at 24,924.70, after touching an intraday high of 24,944.80.
Strategic Calm Following Operation Sindoor
The rally in defence stocks also followed geopolitical developments. India and Pakistan reached a significant understanding on Saturday to cease all military actions across land, air, and sea domains. The truce followed India's Operation Sindoor, launched on May 7, which targeted nine terror infrastructures in Pakistan and Pakistan-Occupied-Kashmir as a response to the Pahalgam terror attack.This de-escalation in regional tensions likely contributed to investor optimism, particularly for stocks tied to defence and strategic sectors.