The Indian markets began the trading session on a positive note with the BSE Sensex having opened at 17,239, up 162 points and the Nifty at 5,199, up 41 points.
A broad asset rally inspired by the US Federal Reserve's pledge to keep rates low paused on Friday, as investors sought to gauge how sustainable the burst of optimism will be while waiting for the outcome of crucial Greek debt talks.
MSCI's broadest index of Asia-Pacific shares outside Japan added 0.1 per cent and hit its highest in nearly three months earlier, and was set for a weekly gain of around two per cent. US stocks fell on Thursday as traders cashed in on recent gains and disappointing new home sales data weighed.
Back home, technical analysts suggest that the Nifty is likely to face stiff resistance around 5,175 -5,185 levels, while it will seek support around 5,140 – 5,130 levels.
Index heavyweight Reliance Industries (RIL) has gained nearly 2% after the company announced that the share buyback programme will begin from February 1, 2012. The stock plunged few days back on reporting disappointing numbers in the quarter ended December 2011.
BSE Metal index is leading the rally, gaining by nearly 2%. Sterlite, Hindalco, Tata Steel and Jindal Steel have gained between 1-4%.
Rate sensitive Realty sector has surged by nearly 2%. DLF has zoomed by nearly 2%.
IT stocks like Infosys and TCS gained between 1-2%
The broader markets are performing line with the benchmark indices, gaining by over 1%.
The overall market breadth in BSE remains firm with 1,022 shares advancing and 285 shares declining.