India’s benchmark stock index surged the most in a month as lenders and software exporters rallied.
The S&P BSE Sensex rose 0.9% to 35,081.82, crossing the 35,000 mark for the first time. The broader NSE Nifty 50 Index added 0.8%. Axis Bank Ltd and State Bank of India led gains on the Sensex. Infosys Ltd and Tata Consultancy Services Ltd extended yesterday’s advance after Morgan Stanley predicted a turnaround in technology spending. Hindustan Unilever Ltd, India’s largest consumer-goods producer, fell ahead of its earnings report after trading hours yesterday.
“Investors are keenly watching how the results season pans out,” said Paras Bothra, vice president at Ashika Stock Broking Ltd. “There is hope that the budget will unveil steps to boost economic growth.”
Many investors expect Indian equities to extend the rally that made them among Asia’s best performers last year. Investors are betting companies will benefit from higher government spending in Prime Minister Narendra Modi’s February budget to revive an economy that’s forecast to grow at the slowest pace in four years.
Tata Consultancy, Infosys and private lender IndusInd Bank Ltd last week posted quarterly profits that either beat or matched analyst estimates. Bharti Airtel Ltd, the nation’s biggest mobile services provider, and HDFC Bank Ltd are among companies scheduled to report results later this week.
Indian workers pose outside the Bombay Stock Exchange during celebrations marking the benchmark 30-share index Sensex crossing 35,000 points in Mumbai yesterday.
