Markets hold morning gains, Nifty around 8,950; RIL up over 3.5%

Benchmark indices held on to their morning gains with Nifty hovering around 8.900 on hopes that BJP may win the Uttar Pradesh assembly elections.

The elections will have a key influence on PM Narendra Modi's chances of a victory on 2019 polls.. Election results are due out on Saturday.

Meanwhile, Asian shares were on the defensive on Monday as investors weighed the near-certain prospect of an interest rate hike in the United States this month against news of slower growth in China this year. MSCI's broadest dollar-denominated index of Asia-Pacific shares outside Japan was up 0.2% but Seoul shares were down 0.2%, hitting their lowest levels since early February at one point.

At 12:58 pm, the S&P BSE Sensex was trading at 29,002, up 169 points, while the broader Nifty50 was ruling at 8,947, up 50 points.

In the broader market, the BSE Midcap and BSE Smallcap indices gained 0.4% each.

The market breadth was narrow after 1,430 shares advanced, 1,131 shares declined, while 156 shares remained unchanged.

Reliance, Power Grid and NTPC were the top gainers on BSE Sensex, while TCS, Sun Pharma and HUL were the top losers on the index.

RIL touched a fresh nine-year high of Rs 1,307.05, up 4% at intra-day as investors remained bullish on its telecom prospects. Shares of the company have risen 15% since Jio said it would start charging for its services in April.

Coal India climbed as much as 2% in the early morning trade but later pared gains to turn flat after unit Central Coalfields approved share buyback of up to Rs 1,002 crore, according to an exchange filing on Saturday.

Dredging Corporation rose as much as 16% in the early-morning trade but later gave up some of its gains to trade 8% higher after the stock pared gains on the back of possible stake sale reports. According to a media report, the government was looking to give up controlling stake of 51% and a Cabinet note on the proposal has been prepared.

IT stocks were among the top losers, with Tata Consultancy Services falling over 1%, amid lack of clarity over processing of H1B visas in the United States.

Reliance Industries Limited (RIL)

Bombay Stock Exchange - BSE

NTPC Limited