BENGALURU, Oct 30 (Reuters) - Indian shares rose on Friday as heavyweight stocks Indian Oil Corp and Reliance Industries gained on expectations of strong earnings, with the real estate sector also supporting the market.
The NSE Nifty 50 index advanced 0.52% to 11,732.25 by 0500 GMT, while the S&P BSE Sensex was up 0.43% at 39,919.34.
The indexes were on track for their best monthly performance since July, but were set to finish the week lower on worries over the pace of global economic recovery as major European nations impose fresh lockdowns to combat surging coronavirus cases.
Refiner Indian Oil Corp advanced nearly 4% on Friday and oil-to-telecoms conglomerate Reliance Industries rose 1.14% ahead of quarterly results due later in the day, with smaller rival Bharat Petroleum Corp’s (BPCL) strong earnings on Thursday lifting sentiment.
“The expectation is that the oil companies will maintain their overall refining margins, because the demand was sound during the quarter,” said Ajit Mishra, vice president of research at Religare Broking Ltd in Mumbai.
“Oil marketing companies were also under pressure for a while and there is a rebound being seen in those stocks.”
BPCL shares firmed 3% after it reported a higher quarterly profit and the company’s executives said it would exceed their capital expenditure target for the full year.
Real estate developer Godrej Properties gained as much as 4.9%, helping the Nifty realty index rise 2.5%.
Brokerage Jefferies said in a note on Thursday property registrations in the country’s financial hub Mumbai and the capital New Delhi were at 12- and 22-month highs, respectively, and maintained its optimistic outlook for the sector.
The Nifty metals index and the Nifty IT index advanced 1.8% and 1.3%, respectively.
India’s top carmaker, Maruti Suzuki, fell 1.6% after its quarterly profit missed estimates on Thursday. (Reporting by Derek Francis in Bengaluru; Editing by Aditya Soni)
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