The benchmark BSE Sensex jumped over 200 points and the NSE Nifty reclaimed the 11,300 level in early trade Friday amid value-buying in banking, IT and metal stocks.
The 30-share index was trading 201.24 points, or 0.54 per cent, higher at 37,594.72. The broader NSE Nifty was also trading 57.20 points, or 0.51 per cent, up at 11,314.30.
In the previous session on Thursday, the BSE bourse closed 278.60 points, or 0.75 per cent, higher at 37,393.48; and the Nifty rose 100.10 points, or 0.90 per cent, to settle at 11,257.10.
Top gainers in the Sensex pack include Yes Bank, Bajaj Finance, Coal India, HDFC, M&M, IndusInd Bank, HUL, TCS and Maruti, rising up to 3.96 per cent.
On the other hand, Tata Motors, Infosys, NTPC, Tata Steel, ONGC and HCL Tech fell up to 0.91 per cent.
According to traders, value buying in recently battered stocks lifted key indices.
However, volatility may increase ahead of election results, amid continued tensions between the US and China and sustained foreign fund outflow, experts said.
Foreign institutional investors sold equity worth Rs 953.23 crore on Thursday, while domestic institutional investors purchased shares to the tune of Rs 948.00 crore, provisional data available with stock exchanges showed.
Bourses in China, Japan and Korea were trading on a mixed note in their respective early sessions; while, Wall Street indices ended in the green on Thursday.
On the currency front, rupee depreciated 16 paise to 70.20 against the US dollar in early trade.
Brent crude futures, the global oil benchmark, were trading 0.30 per cent higher at USD 72.84 per barrel.