BENGALURU (Reuters) - Indian shares are set to open higher on Friday, tracking gains in other Asian peers after U.S. labour market data eased some of the worries of a likely recession in the world's top economy.
The Gift Nifty was trading at 24,382.5, as of 08:10 a.m IST, indicating that the benchmark Nifty 50 will open above its Thursday's close of 24,117.
Asian markets opened higher, with the MSCI Asia ex-Japan index rising 1.6%. Wall Street equities also advanced overnight, after lower-than-expected weekly U.S. unemployment claims calmed recession fears. [MKTS/GLOB]
Global markets, including India, saw a sharp sell-off earlier in the week after July jobs report sparked worries of a U.S. recession.
India's Nifty 50 and S&P BSE Sensex indexes have shed about 2.5%, each, so far this week.
They lost about 0.75% each on Thursday after the Reserve Bank of India maintained its hawkish policy stance due to stubbornly high food inflation.
"Volatility has eased a bit through the week after spiking on Monday," said Chandan Taparia, senior vice president of equity derivatives, broking and distribution at Motilal Oswal Financial Services.
The Nifty volatility index rose to a two-month high of 23.15 on Monday, before easing to 16.6 as of its previous close.
"The peak out in India VIX suggests some stability and support-based buying at lower zones," Taparia added.
Information technology companies, which earn a significant share of their revenue from the U.S., could rise on easing worries over the world's largest economy. The IT index lost about 2% on Thursday.
Foreign institutional investors remained net sellers of domestic equities for a fifth consecutive session on Thursday. FIIs have offloaded shares worth 228.57 billion rupees ($2.7 billion) over the period. Domestic institutional investors have bought $2.4 billion worth of shares during the period.
STOCKS TO WATCH
** Life Insurance Corporation of India forecasts 2%-3% higher value for new-business margin in fiscal year 2025, posts a 9.6% rise in first-quarter profit.
** Eicher Motors beats June quarter profit estimates on strong sales of pricier Royal Enfields.
** Ola Electric Mobility shares to debut on stock exchanges, the issue price is 76 rupees per share.
** Cochin Shipyard posts rise in June quarter profit.
($1 = 83.9530 Indian rupees)
(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Rashmi Aich)
