Defence shares snap 5-day rally amid profit booking
Defence stocks faced sharp profit-taking on Wednesday, with the Nifty India Defence index falling 1.5% and snapping a five-session winning streak. The index had climbed nearly 4% over the previous five trading days, buoyed by positive policy developments.
The recent rally was largely driven by the Department of Defence Production under the Ministry of Defence notifying the sixth Positive Indigenisation List (PIL). The list includes 405 strategically important defence items with an estimated business potential of ₹3,070 crore. This move forms part of the government’s broader Aatmanirbhar Bharat push to strengthen domestic defence manufacturing, reduce import dependence, encourage investment and innovation, and create fresh opportunities for Indian companies.
In Wednesday’s session, selling pressure dominated as 17 of the 19 constituents of the Nifty India Defence index traded in the red. Astra Microwave Products emerged as the top loser, declining 4%. Solar Industries India dropped 3.2%, while MTAR Technologies fell 2.9%. Other major names including