BENGALURU (Reuters) – Indian shares rose on Monday, led by auto stocks after monthly data showed an uptick in July retail sales, with Mahindra & Mahindra leading gains on the back of posting a quarterly profit last week.
By 0530 GMT, the blue-chip NSE Nifty 50 index climbed 0.34% to 16,293.30 and the benchmark S&P BSE Sensex rose 0.36% to 54,472.37.
“There is good buying from foreign institutional investors, and we can expect the market to rise further this week and the next,” said Gaurav Garg, head of research at CapitalVia Global Research.
Indian shares notched gains for four out of five sessions last week, scaling record peaks on Wednesday thanks to ample liquidity and strong corporate earnings momentum. Both indexes gained 3% last week.
The Nifty Auto index rose 0.48% on Monday, after data from India’s Federation of Automobile Dealers Associations showed total vehicle retail sales for July rose 34.12% from a year ago.
Automaker Mahindra & Mahindra and financial services firm Bajaj Finserv were the top two gainers on the Nifty, adding 2.5% and 2.0%, respectively.
The carmaker reported a profit for its first quarter on Friday, as demand for passenger vehicles and tractors improved.
Shares of industrial machine parts maker Rolex Rings rose as much as 40.3% in their market debut.
Meanwhile, Nifty’s metal and energy sub-indexes inched 0.19% and 0.18% lower, respectively.
Benchmark indexes in the United States closed at record highs on Friday following strong jobs data, while broader Asian shares inched lower early on Monday amid sharp losses in gold and oil prices.
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