The broader 50-share Nifty gained over 77 points, or 0.69 percent, to trade at 11,348.95. The NSE index started at 11,290.40.
Indian shares advanced on Thursday, on the back of short-covering in beaten-down stocks after the benchmark indices fell for five straight sessions.
Trading, however, is likely to be volatile as July derivative contracts expire later in the day.
At 09:44AM, the 30-share benchmark Sensex surged 293 points, or 0.77 percent, to trade at 38,140 while the broader 50-share Nifty gained over 77 points, or 0.69 percent, to trade at 11,348.95.
Bajaj Finance, Bajaj Finserv, Bank of Baroda, and Tata Motors will report their earnings later in the day.
Broader markets also gained but lagged behind frontline indexes after starting weak in the initial tick. The Nifty MidCap rose half a percent, while the BSE MidCap gained 0.75 percent at 9.44 am.
The banking gauge, Nifty Bank, started in the red but gained almost 1 percent, led by IndusInd Bank and HDFC Bank.
BSE Telecom and Metal advanced the most among the sectoral indices, while BSE Oil & Gas, Nifty Realty, Nifty Media were the laggards.
Among initial Nifty gainers, Cipla, Bharti Infratel, IndusInd Bank, Indiabulls Housing Finance and Zee Entertainment gained between 1 and 2 percent.
Tech Mahindra, Indian Oil Corp, ONGC, Coal India and Reliance Industries declined between 0.5 percent and 2.10 percent.
Shares of ICICI Prudential Life Insurance Company gained 4 percent following June quarter numbers. The company's Q1FY20 net profit rose 1.2 percent to Rs 284.9 crore against Rs 281.6 crore in the same quarter last year.
Shares of Bharti Infratel gained 5 percent after it reported robust June quarter earnings.
Tata Motors shares slipped 1.5 percent ahead of its June quarter results later today.
Meanwhile, the rupee opened little changed against the US dollar on Friday, after falling for three straight sessions, amid caution ahead of the key central bank policies this month.
In debt markets, the yields on the 10-year government bonds were up 0.09 percent to 6.44 percent from its previous close of 6.43 percent. Bond yields and prices move in opposite directions.
Trade sentiment across Asian markets improved on positive global cues after a tech-fueled rally on Wall Street overnight. The European Central Bank in its policy later today is expected to cut rates.
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