Indian stock-index futures climbed after benchmark gauges extended gains to all-time highs.

SGX CNX Nifty Index futures for June delivery rose 0.1 percent to 7,671 at 10:42 a.m. in Singapore. The underlying CNX Nifty Index on the National Stock Exchange of India Ltd. increased 0.9 percent to 7,654.60 yesterday. The S&P BSE Sensex (SENSEX) advanced 0.7 percent to 25,580.21. The Bank of New York Mellon India ADR Index of U.S.-traded shares added 0.3 percent.

The Sensex rallied for a third day yesterday amid speculation the government will boost spending and accelerate approvals for roads, ports and power projects. The gains pushed the index’s valuations to the most expensive since January 2011.

“The market is in the grip of the bulls. Liquidity is very strong and every dip is being used as a buying opportunity,” Arun Kejriwal, a director at Kejriwal Research & Investment Pvt., said by phone from Mumbai. “We don’t see the markets going down from here. There will be some consolidation till the government puts out the budget early next month.”

The Sensex’s 14-day relative strength index gained to 79.6 yesterday, a two-week high, data compiled by Bloomberg show. Some investors see readings above 70 as a signal to sell. The Sensex has advanced 21 percent this year and trades at 15.7 times projected 12-month earnings. The MSCI Emerging Markets Index is valued at a multiple of 11.

Overseas investors bought a net $ 239.4 million of Indian shares on June 5, taking this year’s inflows to $ 8.5 billion, the most among eight Asian markets tracked by Bloomberg.

El Nino

Monsoon rainfall in India, the main source of irrigation for the nation’s 263 million farmers, will be below normal this year as El Nino emerges, weakening prospects for crops from rice to soybeans and sugar and potentially boosting inflation.

Showers in the June-September season will be 93 percent of a 50-year average of 89 centimeters (35 inches), the state-run India Meteorological Department said on its website yesterday. That’s less than 95 percent of the average predicted in April.

Prime Minister Narendra Modi will make curtailing food inflation his top priority, President Pranab Mukherjee said yesterday, outlining the two-week-old government’s policies.

To contact the reporter on this story: Rajhkumar K Shaaw in Mumbai at rshaaw@bloomberg.net

To contact the editors responsible for this story: Michael Patterson at mpatterson10@bloomberg.net Chan Tien Hin