The BSE Sensex is up around 200 points, while the Nifty has gained more than 50 points. Private banks continue to gain for a second day after banking stocks saw their biggest single-day gains in over 4 years on Thursday after the Reserve Bank of India raised overseas borrowing limits for lenders as part of a slew of measures unveiled by new Governor Raghuram Rajan.
ICICI Bank Ltd (ICBK.NS) rises 4.6 percent, while IndusInd Bank is up 0.5 percent.
IT shares recover from a bout of profit-taking on Thursday. Infosys Ltd (INFY.NS) gains nearly 2 percent, while Tata Consultancy Services Ltd (TCS.NS) is up 0.5 percent.
However, Sesa Goa Ltd (SESA.NS) falls as much as 5.9 percent as the lock-in period related to its merger with Sterlite Industries (India) Ltd (STRL.NS) ended as of the close of trade on Thursday.
The BSE Sensex and the Nifty rose nearly 1 percent at 1217 IST.