PSUs Soar Up To 20%; Bharat Dynamics, HAL, ITI Hit 52-Week High

Shares of PSUs primarily from the telecom and defence segment surged up to 20% in trade on July 6, 2020 on the likelihood of receiving government orders.

PSUs Soar Up To 20%; Bharat Dynamics, HAL, ITI Hit 52-Week High

Amid an India-China standoff along the border, the centre put a ban on Chinese telecom equipment which lifted the sentiment for private player in the space, ITI. And on heavy trading volumes in the counter today, of 2,43,37,094 equity shares till the time of writing the report on both the exchanges, the stock jumped 20% to Rs. 134.30 per share. This is also the stock's 52-week high price on both the indices.

In the defence sector, ever since the approval for purchase of defence equipment worth Rs. 38,900 crore by the defence ministry, the PSU stocks from the space are on the high. In intra-day today, HAL jumped 7% to scale to its 52-week high of Rs. 911.90 per share on the BSE. On the NSE, the stock hit a 52-week high of Rs. 899.

Another stock from the pack, Bharat Dynamics also rallied as much as 9% to its 52-week high of Rs. 410.95 per share on the BSE. Bharat Dynamics' is the country's only missile manufacturing entity that carries out the manufacturing of surface to air missiles, anti-tank guided missiles, torpedoes and underwater weapons among others

Other stocks from the PSU index which were up between 4-8% in trade on July 6, 2020 include Cochin Shipyard, Bharat Heavy Electricals (BHEL), STC India and Hindustan Copper.

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