Markets edge higher on stimulus talks by Centre

Mumbai: Benchmarks Sensex and Nifty pared early losses to settle marginally higher on Friday as participants took heart from the government considering measures to aid the ailing economy and the global markets showing some resilience.

Flipping between losses and gains for a better part of the session, the 30-share Sensex settled 38.80 points, or 0.10 per cent, higher at 37,350.33. It hit an intra-day high of 37,444.45 and a low of 36,974.41.

The broader NSE Nifty gained 18.40 points, or 0.17 per cent, to close at 11,047.80. During the day, it swung between a high of 11,068.65 and low of 10,924.30.

On a weekly basis, both indices have posted five losses in six weeks. Indian equity markets were closed on Monday and Thursday for public holiday. Concerns over economic slowdown, weak earnings and global trade volatility have been weighing on investor sentiment, experts said.

Stocks of banking and auto sectors got a boost amid buzz that the Centre will come out with stimulus measures to help revive consumer spending in various sectors. In view of fast-spreading slowdown in key sectors, the Indian government on Thursday reviewed the state of the economy.

Riding on news about possible stimulus measures, auto counters rose as much as 2.74 per cent on the BSE. Sectorally, BSE utilities, auto, power, bankex, telecom, finance and realty indices ended up to 1.50 per cent higher.

While, BSE IT, energy, teck, metal and healthcare indices fell up to 0.78 per cent. Broader BSE midcap and smallcap indices too ended in the green.