The BSE Sensex gains 0.3 percent, while the 50-share Nifty advances 0.4 percent, recovering after four-sessions of losses.

Asian shares inched higher, supported by a pick-up in China's manufacturing sector and a commitment by the U.S. Federal Reserve to maintain an accommodative monetary stance.

Recent under-performers gain, with ICICI Bank (ICBK.NS) up over 3 percent after falling 9.8 percent in the previous four sessions.

State Bank of India (SBI.NS) rises 1.2 percent, while Bharti Airtel Ltd (BRTI.NS) is up over 5 percent .

Technology shares also gain on value-buying: Tata Consultancy Services Ltd (TCS.NS) is up 0.7 percent while Infosys Ltd (INFY.NS) rises 0.3 percent.

However, the broader sentiment in the market remains weak on worries the government will be forced to call early elections or see its reform agenda weakened after a key ally withdrew from the ruling coalition this week.