BSE Sensex and NSE Nifty were off to a positive start on Friday, aided by high weightage information technology (IT) and financials stocks, as analysts find valuations attractive after a recent correction, ahead of key economic data to gauge the path for future rate hikes.
The Nifty 50 index was up 1.10 per cent at 17,268.50, while the S&P BSE Sensex rose 1.18 per cent to 58,640.64 in early trade.
All 13 major sectoral indexes advanced. The heavyweight financials index rose 1.2 per cent, while IT jumped 1.5 per cent.
Forty of the Nifty 50 constituents logged gains. The Nifty is on course to extend losses for the fourth month, its longest losing streak since 2001.
The recent correction has rendered valuations attractive, according to analysts. Global brokerage firm Morgan Stanley upgraded India to “equal weight” from “under weight”, citing economic resilience and valuation premiums.
Investors at home are awaiting a set of macroeconomic indicators, including current account data and external debt.
Data on personal consumption expenditures (PCE) in the US, the Fed’s preferred indicator of inflation, is also due later in the day.
Asian equities indexes advanced, on strong economic data from China.
Among individual stocks, Bharat Electronics surged over 7 per cent after the company bagged multiple orders from the Ministry of Defence. JSW Energy shares rose over 3 per cent after the company acquired renewable energy portfolio of Mytrah Energy.
On the flip side, shares of Lupin fell more than 2 per cent after the US FDA issued a Form 483 with 10 observations for the company’s Pithampur unit-2 manufacturing facility.
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