Defence stocks rallied up to 4% after the green light for India’s stealth fighter jet programme. Garden Reach Shipbuilders, Bharat Dynamics gained up to 4%.
The deets: the government has officially approved the Advanced Medium Combat Aircraft Programme Execution Model, India’s most ambitious stealth fighter project yet. This triggered a sharp rally in defence counters.
Why it matters: India’s air fleet is down to 31 squadrons (from the approved 42), even as China scales up fast and Pakistan flexes with China’s J-10 jets. The AMCA is India’s answer to this power gap, homegrown, stealthy, and future-ready.
Zoom out: the announcement added fresh fire to already hot defence stocks. The Nifty India Defence index hit a new high, notching its fifth straight day of gains. The index is up 21% in May alone.
