Defence shares gain momentum on strong production and growth outlook

Indian defence shares rallied strongly, with the Nifty Defence Index rising nearly 4% to close at 9,487, up about 23% year-to-date. The sector got a boost from data showing local defence production grew 15.6% year-on-year from Rs 1.54 lakh crore, backed by strong policy push and rising global demand. Key gainers included Paras Defence (up about 19%), Hindustan Aeronautics (up 5.3%), Bharat Dynamics (up about 6%), Mazagon Dock Shipbuilders (up about 4%), and Bharat Electronics (up about 3.5%).