Indian shares rose on Monday, with the NSE index moving close to breaching key psychological level of 9,000, as the government moved a step closer towards launching a long-awaited new national sales tax, known as GST, from July after a panel of central and state finance officials finalised two key bills to be put before parliament.
Buying was visible across the sectors except IT and pharma shares. The broader NSE Nifty was up 0.46 per cent at 8,936.60 by 1.35 pm, while the benchmark BSE Sensex was 0.52 per cent higher at 28,982.06.
Reliance Industries Ltd was the top gainer in Nifty, rising 4 per cent to its highest since May 2008. Shares in the energy conglomerate have risen 15 per cent since telecom unit Jio said it would start charging for its services in April.
Financial stocks accounted for nearly half of the gains on the NSE index, with State Bank of India, IndusInd Bank, Yes Bank leading the rise. Shares of IndusInd Bank and Yes Bank rose more than 1.5 per cent each.
Coal India Ltd climbed as much as 2 per cent after unit Central Coalfields approved share buyback of up to Rs 1,002 crore, according to an exchange filing on Saturday.
Midcap and smallcap shares also witnessed buying today. The BSE Midcap index was up 0.30 per cent while the BSE smallcap index traded 0.35 per cent higher.
Dredging Corporation of India surged as much as 17 per cent after a news report said that government is looking to sell some of its stake in the state-owned company.