MUMBAI The BSE Sensex was trading 0.5 percent higher on Friday, on track to post its best weekly gain this year, supported by firmer Asian peers and a rise in financial stocks.
Traders said a revival in portfolio inflows from foreign institutional investors (FIIs) was underpinning the market. Latest data showed foreign funds had bought $791 million of Indian equities in the last three sessions.
By 10:56 a.m. (0448 GMT), the 30-share BSE index was trading up 0.49 percent at 17,059.37. Twenty-four of its components were trading in the green.
If the market holds on to the rise till close, the index would notch a gain of 3.8 percent on the week.
"Global cues are helping the market," said Mehul Dedhia, assistant vice-president of sales at brokerage Sharekhan. "Flows from FIIs seem to have resumed. So any steep downside is ruled out for now."
Financials led the rise on optimistic long-term outlook in an expanding economy.
Leading lender State Bank of India and rival ICICI Bank gained 0.5 percent each.
Mortgage lender Housing Development Finance Corp rose 0.2 percent.
Energy giant Reliance Industries, which has the highest weight on the main index, gained 0.2 percent to 1,015.55 rupees.
Non-ferrous metals maker Sterlite Industries rose 0.6 percent as London copper rose ahead of a U.S. jobs report, which should provide further clues on the pace of economic recovery.
Aluminium maker Hindalco and Tata Steel, the world's eighth-largest steel maker by output, firmed 0.8 percent and 1.1 percent respectively.
In the broader market, gainers were more than twice the number of losers on volume of 146 million shares.
The 50-share NSE index was up 0.5 percent at 5,106.50.
STOCKS ON THE MOVE
* Top vehicle maker Tata Motors fell 0.6 percent to 807.20 rupees, after 3.7 million shares changed hands in a block deal on the BSE at 813 rupees.
* NMDC dropped 2.5 percent to 424.40 rupees, after the Economic Times reported the government may set the floor price for a follow-on share sale in the state-run miner at 30-35 percent lower than the market price.
* Sulzer India jumped 20 percent for the second day to 1,243.65 rupees on hopes Switzerland-based parent Sulzer Ltd would offer a higher price for the 20 percent it does not own and delist the engineering products company.
MAIN TOP 3 BY VOLUME
* Tata Motors on 4.1 million shares
* Suzlon Energy on 3.2 million shares
* Gokul Refoils on 2.8 million shares
(Reporting by Ami Shah; Editing by Ranjit Gangadharan)
(For more news on Reuters Money visit www.reutersmoney.in)
Trending On Reuters
What seemed like a possibility for the Nifty to cross the 8,000 mark just two weeks ago has now turned out to be a far-fetched dream. A 7,950-8,000 range could be used to book partial profits and re-enter closer to 7,750-7,800 for the next couple of weeks. The next big trigger would be the arrival of monsoons, writes Ambareesh Baliga. Read