Benchmark indices are trading higher supported by strong buying among information technology, financials and power shares.
At 11:16 AM, the Sensex was up 242 points at 27,887 and the Nifty is quoting at 8,436, up 70 points.
Among broader markets, BSE Midcap and Smallcap indices are up 0.4-0.6%. The market breadth is positive with 1,399 shares advancing versus 832 shares declining on the BSE.
Further, foreign portfolio investors bought shares worth a net Rs 48.06 crore yesterday, 19 May 2015, as per provisional data.
In the currency front, the rupee depreciated by 11 paise to 63.78 against the US dollar in early trade today at the Interbank Foreign Exchange due to appreciation of the American currency overseas riding on strong economic data.
Asian shares slipped on Wednesday after a mixed day on Wall Street, though Japan's better-than-expected economic growth lifted the Nikkei to a nearly one-month high.
The euro remained pressured by expectations that the European Central Bank would increase its bond-buying stimulus. MSCI's broadest index of Asia-Pacific shares outside Japan was down about 0.1%.
But the Nikkei stock index rose about 0.8%, approaching its best levels since late last month, after data released before the market open showed Japan's economy grew at a 2.4% annualised rate in the January-March period. That was its fastest pace in a year, beating the consensus estimate for 1.5% growth.
SECTORS & STOCKS
Sectors like IT, Banks, Consumer Durables, Oil & Gas, Power and Realty have gained between 0.5-1.5%. However, BSE Metal index has slipped by 0.6%.
IT shares have gained ground as the rupee depreciated against the US dollar due to appreciation of the American currency overseas riding on strong economic data. TCs and Wipro have gained over 1%.
Infosys has surged over 1%. Infosys chief executive officer Vishal Sikka, during a recent investor conference, acknowledged that other than resuming the growth curve for the company, his focus is also to get discipline and operational excellence back.
Tata Power is trading higher by 3% to Rs 78 on the NSE after the company reported a better-than-expected consolidated net profit of Rs 159 crore in the fourth quarter ended March 31, 2015 (Q4) mainly due to lower depreciation and lower coal prices.
From the financial space, ICICI Bank, HDFC Bank, SBI and HDFC have gained between 1-2%.
The "spectre of deflation" is spurring the world's major central banks into a dangerous struggle for stronger domestic growth that imperils financial markets
and ignores the needs of developing nations, Reserve Bank of India Governor Raghuram Rajan said on Tuesday.
Reliance Inds has gained over 1%. The company has raised $ 200 million on Tuesday through 20-year bonds. The notes have been issued at par and will bear a fixed interest rate of 5 per cent per annum with interest payable semi-annually in arrears.
Bharti Airtel is up almost 1%. Telecom major Airtel is all set to buy out Augere Wireless -- 4G spectrum holder company in Madhya Pradesh circle -- for about Rs 150 crore.
Other notable gainers are GAIL, M&M, Maruti Suzuki, NTPC and Cipla.
On the losing side, metal shares are witnessing some selling pressure.
Tata Steel is the top Sensex loser, down over 2%. Tata Steel said it has no immediate plans to sell-off its Long Products Europe business to the Switzerland-based Klesch Group.
Hindalco, Vedanta, Coal India and BHEL have slipped between 0.1-1%.
MBL Infrastructure has moved higher by 8% to Rs 626 on the BSE after the company announced the bonus issue plan.
Steel Stripes Wheels Limited (SSWL) has surged 7% to Rs 324 on the BSE after the company announced that it has bagged an order from the Canadian passenger car aftermarket for the supply of wheels.
Shares of Pidilite Industries were trading lower by 4% to Rs 572 on the NSE after the company reported a lower-than-expected 10% year on year (yoy) growth in consolidated net profit of Rs 81 crore for the fourth quarter ended March 31, 2015 (Q4), due to lower other income.
Jamna Auto Industries has rallied 8% to Rs 259 on the NSE after the company reported an over five-fold jump in consolidated net profit at Rs 15.31 crore for the fourth quarter ended March 31, 2015 (Q4).