IT, pharma help Indian shares eke out gains

Indian shares ended higher in volatile trading on Monday, helped by IT and pharmacy stocks, while RBL Bank tumbled after its top boss went on medical leave and the central bank appointed an executive to the lender’s board.

The NSE Nifty 50 index (.NSEI) ended up 0.49 per cent at 17,086.25 and the benchmark S&P BSE Sensex (.BSESN) closed 0.52 per cent higher at 57,420.24. Earlier in the session, they fell nearly 1 per cent amid concerns over a global surge in Omicron coronavirus variant cases.

Shares of RBL Bank (RATB.NS) shed 18.5 per cent, after falling as much as 25 per cent earlier in the session, as the Reserve Bank of India said the private bank was well capitalised and its financial position was satisfactory.

RBL on Saturday said its board had accepted a request from Vishwavir Ahuja, its managing director and chief executive officer, to proceed on medical leave with immediate effect.

The banking regulator’s move to send its nominee to the RBL’s board has put the lens on the private lender’s financial strength and asset quality, said Rahul Sharma, head of research, Equity99 Advisors in Mumbai.