Indian shares are set to open marginally higher on Friday, after upbeat earnings aided a rebound in the previous session, though higher crude oil prices are likely to limit follow-through gains.
GIFT Nifty futures were at 22,981 as of 7:42 a.m. IST, indicating a positive start for the benchmark Nifty 50, which closed at 22,936.75 on Thursday.
Both the benchmarks Nifty and BSE Sensex gained over 1% each in the previous session, after strong quarterly results from key constituents and as the US Federal Reserve held interest rates steady as expected.
They have gained about 1.4% and 2.3%, respectively, in October, on course to snap a two-month selling streak, with sentiment finding some support from expectations of a potential review of long-term capital gains tax and steady corporate earnings despite global headwinds, said analysts at Geojit Investments and Equinomics Research.
"Overall market bias has improved to cautiously positive, supported by the breakout from recent consolidation and broad-based sector buying, though elevated crude prices remains an important risk," said Hitesh Tailor, technical research analyst at Choice Broking.