Defense Stocks Soar Amid Rising Geopolitical Tensions

Shares of defense-related firms, including those of drone manufacturers and missile makers, continued their upward trajectory on Thursday, reflecting strong investor interest. These stocks saw significant gains as geopolitical tensions remain high, with companies like Sika Interplant Systems and Astra Microwave Products leading the surge.

The equity market demonstrated robust performance, with the 30-share BSE Sensex climbing 1,200.18 points to a seven-month high of 82,530.74, and the NSE Nifty soaring 395.20 points to a similar peak of 25,062.10. This rise is attributed to increased focus on defense stocks following recent geopolitical developments.

Indian defense stocks have been the center of attention since the launch of Operation Sindoor in retaliation to the April 22 Pahalgam attack. Analysts, like Siddhartha Khemka from Motilal Oswal Financial Services, attribute the nearly 11% weekly gains to strong domestic demand and growing export potential.

(With inputs from agencies.)