Indian shares drift higher; Dr. Reddy's climbs

Indian shares rose on Friday, led by gains in drug makers such as DR. Reddy's and Sun Pharma and amisdt positive global cues.

nifty
Traders walks infront of an electronic board in Mumbai, India. Reuters

Indian shares rose on Friday, led by gains in drug makers such as DR. Reddy's and Sun Pharma and amisdt positive global cues.

Risk appetite was firm despite poor economic growth following government's cash squeeze last year.

Gross domestic product grew 5.7 percent in April-June, its slowest pace since the January-March quarter 2014, data showed on Thursday.

At 0600 GMT, the S&P BSE Sensex rose 0.4 percent at 31,858 while the broader NSE Nifty added 0.38 percent at 9,955.

Among the top index gainers: Dr Reddy's gained 8.6 percent, Bajaj Auto added 3.6 percent, Asian Paints rose 2.4 percent while Hero MotoCorp advanced 2.1 percent.

S&P BSE healthcare index rose about 2 percent, amongst the top sectoral gainers.

Stocks of auto makers such as Maruti Suzuki and Tata Motors advanced ahead of August month's sales numbers, to be released later in the day.

Dr Reddy's Laboratories climbed after Nasdaq-listed Vivus Inc entered into a settlement agreement with the company to resolve a long-pending patent litigation related to weight management capsules Qsymia.

Welspun Enterprises jumped 4.4 percent after the company said it got Rs 1,161 crore order from National Highways Authority of India.

Strides Shasun gained 2 percent after the company said its Bangalore unit got establishment inspection report from U.S. drug regulator.

Market breadth was in the favour of losers, with about 2 stocks declining to every 1 stock that advanced.

In global markets, Asian equities edged higher folowing Wall Street's gains overnight ahead of the U.S. jobs report later in the day.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.3 percent.

The financial markets looked to the U.S. jobs report due at 1230 GMT for further clues on the state of the world's largest economy.

Economists polled by Reuters expect U.S. nonfarm payrolls increased by 180,000 jobs in August after surging 209,000 in July and average hourly earnings to have increased 0.2 percent after rising 0.3 percent in July.

READ MORE