Stock markets trade higher in early trade

New Delhi: Benchmark indices Sensex and Nifty were trading in positive territory in early trade on Friday, supported by optimism around easing geopolitical tensions and fresh foreign fund inflows.

A temporary ceasefire between Israel and Lebanon has added to markets' optimism, with expectations that this could pave the way for renewed US-Iran negotiations, an expert said.

Follow The PSUWatch Channel on WhatsApp

The 30-share BSE Sensex climbed 177.52 points to 78,166.20 in early trade. The 50-share NSE Nifty advanced 37.4 points to 24,234.15.

From the 30-Sensex firms, ITC, Adani Ports, Maruti, Trent, Power Grid and Hindustan Unilever were among the major winners.

HCL Tech, Tata Steel, Bajaj Finance and ICICI Bank were among the laggards.

Brent crude, the global oil benchmark, traded 1.23 percent lower at USD 98.17 per barrel.

In Asian markets, South Korea's benchmark Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng index were trading lower.

US markets ended marginally higher on Thursday.

"The resilience of the mother market US and positive news relating to ceasefire between Israel and Lebanon bode well for the market," V K Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, said.

Foreign Institutional Investors (FIIs) bought equities worth Rs 382.36 crore on Thursday, according to exchange data.

"While US indices continue to scale record highs, supported by optimism around easing geopolitical tensions, Asian markets have opened lower, reflecting a more cautious interpretation of the same developments," Hariprasad K, Research Analyst and Founder, Livelong Wealth, said.

Wall Street extended its rally, with the S&P 500 and Nasdaq closing at fresh highs on the back of improving sentiment around a potential resolution in the Middle East, he said.

Follow Energy Watch on LinkedIN

"Reports of a temporary ceasefire between Israel and Lebanon have added to optimism, with expectations that this could pave the way for renewed US-Iran negotiations. However, Asian markets appear less convinced, trading lower as investors remain wary of how durable these developments are, especially given the fragile nature of geopolitical agreements in the region," Hariprasad added.

On Thursday, the Sensex declined 122.56 points or 0.16 percent to settle at 77,988.68. The Nifty dropped 34.55 points or 0.14 percent to end at 24,196.75.

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)