The markets opened on a positive note. Equity benchmark BSE Sensex advanced over 150 points on Wednesday driven by gains in energy and banking stocks amid sustained fund inflow and positive cues from global equities.
At 10:15 am, the BSE Sensex was up by 9 points at 38,515 while the Nifty 50 edged higher by 7 points to 11,435.
The 30-share index was trading 158.41 points, or 0.41 percent, higher at 38,664.50 at 0930 hours. Similarly, the broader NSE Nifty rose 50.75 points, or 0.44 percent, to 11,479.05.
Market opens higher amid strong global cues; BPCL among top gainers after reports of Aramco likely to bid for the company
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Top gainers in the Sensex pack included Bajaj Finance, Yes Bank, HDFC Bank, RIL, Tata Motors, Bajaj Auto, Tata Steel and ONGC, rising up to 3 percent.
On the other hand, Vedanta, PowerGrid, ITC, Hero MotoCorp, M&M, Asian Paints, L&T and TCS fell up to 1.50 percent.
In the previous session, the BSE barometer closed 291.62 points, or 0.76 percent, higher at 38,506.09, while the Nifty rose 87.15 points, or 0.77 percent, to settle at 11,428.30.
Foreign institutional investors (FIIs) continued to be net buyers in the capital market, infusing Rs 436.02 on Tuesday, and domestic institutional investors bought shares worth Rs 929.39 crore, data available with the stock exchange showed, according to a PTI report.
Asian shares tick up
Elsewhere in Asia, bourses in Hong Kong, Seoul and Tokyo were trading on a positive note, while those in Shanghai were in the red.
Asian shares inched higher while sterling came off five-month highs in volatile trade on Wednesday as investors looked to whether Britain can secure a deal to avoid a disorderly exit from the European Union, a Reuters report said.
Exchanges on Wall Street ended significantly higher on Tuesday amid positive news on the US-China trade front and hopes of a Brexit deal this week.
Officials and diplomats involved in negotiations over the acrimonious divorce between the world's fifth-largest economy and its biggest trading bloc said that differences over the terms of the split had narrowed significantly.
The news lit a fire under European and U.S. equities, which jumped about 1 percent on Tuesday. The British pound GBP=D3 rocketed to $1.28, a level not seen since May 21.
The pound has strengthened nearly 5 percent over the past week as investors rushed to reprice the prospect of a last-minute Brexit deal before the end-October deadline.
Still, the pound lost steam in Asia, falling 0.3 percent to $1.2752, as uncertainties remained on whether a deal will be sealed at a make-or-break EU summit on Thursday and Friday and if Britain's minority government can get it through a divided UK parliament.
MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.4 percent while Japan's Nikkei jumped 1.5 percent, hitting 10-month highs.
Australian shares added 0.9 percent while South Korea's KOSPI index climbed 0.6 percent, maintaining gains after South Korea's central bank cut its policy interest rate for the second time in three months, matching a record low to address mounting deflationary pressures.
Stronger-than-expected earnings from major US banks JPMorgan, Citigroup and Wells Fargo also boosted equities even as the International Monetary Fund downgraded its 2019 global growth forecast for the fifth time.
"Equities rallied everywhere supported by another set of Brexit headlines and as earnings season started in the United States," JPMorgan analysts wrote in a client note.
"Officials cautioned that talks haven't finished yet and there could yet be problems in hitting the deadline of midnight Tuesday," they added.
The EU's chief Brexit negotiator Michael Barnier had been demanding a legal text of any agreement by midnight UK time. However, the talks were still going on between UK Brexit negotiator David Frost and the EU's executive European Commission past midnight in Brussels.
The EU will determine whether a deal is fit to be put to Thursday's leaders' summit for consideration.
"Watching the UK news channels last night, the arithmetic for achieving said approval is challenging to say the least," analysts at National Australia Bank wrote in a note.
US-China trade dispute
"News that the trade dispute between US and China is nearing the end has lifted global markets," said Sunil Sharma, Chief Investment Officer, Sanctum Wealth Management.
Further, domestic investors are pricing in the positive commentary from corporates this earnings season, he added.
Market experts are also of the view that the central bank will continue with its accommodative policy stance and may go for a further rate cut in the policy review of December 2019, as retail inflation moved up in September.
According to traders, sustained domestic and foreign fund inflow has also boosted investor sentiment.
The rupee, meanwhile, depreciated 12 paise against its previous close to trade at 71.66 in early session.
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Brent futures, the global oil benchmark, rose 0.26 percent to $58.89 per barrel.
--With inputs from agencies