Benchmark equity indices saw a significant downturn recently amid the recovery in Asian markets, but they recovered in early trade on Friday.
In early trading, the 30-share BSE Sensex increased 411.17 points to 63,559.32.At 18,973.15, the Nifty increased by 115.9 points.
The top gainers among the Sensex companies were Infosys, Maruti, NTPC, Mahindra & Mahindra, State Bank of India, and Infosys.
Out of the group, Asian Paints was the only one to lag behind.
Seoul, Tokyo, Shanghai, and Hong Kong were trading in positive territory in the Asian markets.
On Thursday, the US markets finished lower.
For the first time in more than a year, the European Central Bank kept interest rates unchanged on Thursday.
“The market looks to be oversold after six straight days of losses caused by the elevated bond yields in the US and tensions in West Asia,” V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, stated.
The US economy’s surprising resilience, he continued, is noteworthy.
“The Fed will remain hawkish given the Q3 GDP growth of 4.9%, and the likely “higher for longer” interest rate regime is negative for the stock market,” Vijayakumar continued.
Positively, he said that valuations in India, which were once high, are now fair and attractive in industries like banking.
Benchmark Brent crude for global oil prices surged 1.25 percent to USD 89.03 per barrel.
According to exchange data, foreign institutional investors (FIIs) offloaded stocks on Thursday worth Rs 7,702.53 crore.
The BSE benchmark fell 900.91 points, or 1.41 percent, to close at 63,148.15 on Thursday, below the 64,000 barrier. To 18,857.25, the Nifty fell 264.90 points, or 1.39 percent.
