BofA-Merrill upgrades RIL to 'neutral'

Cites improving refining outlook, expected earnings growth recovery

Bank of America-Merrill Lynch upgraded Reliance Industries Ltd to "neutral" from "underperform", citing increasing evidence of an improving refining outlook and an expected earnings growth recovery.

However, the investment bank said stronger gross refining margins and a re-rating of Reliance's exploration and production would be needed before the stock would merit an upgrade to a "buy" rating.