Indian shares snap 3-day losing streak

MUMBAI, Aug 11 (Reuters): Indian shares rose nearly 1 per cent on Monday to snap a three-day losing streak after auto stocks such as Mahindra and Mahindra surged on healthy earnings, while strength in global shares on easing tensions over Ukraine also helped. Global stocks bounced back after recent sell-offs as markets saw a lowered risk of direct conflict between Russia and Ukraine while Middle East tensions appeared less acute.

Foreign investors sold shares worth 5.03 billion rupees on Friday, provisional exchange data showed. June factory output and July retail inflation data due on Tuesday and wholesale inflation on Thursday, will also be watched for gauging the near term direction.

"India's earnings growth and valuation outlook are expected to improve further. So, expect the rally to continue," said Dipen Shah, head of private client group research at Kotak Securities.