Midday market update: Sensex surges 399 points; Reliance jumps 2pc

MUMBAI: Benchmark indices of the domestic equity market slowly gained in the morning, tracking strengthening stocks in US markets. The possibility of a deal to settle the US debt ceiling matter and better-than-estimated corporate earnings seemed to have a positive effect on the investors. Heavyweight Reliance Industries surged 2 per cent whereas HDFC twins were trading in the red around noon on Friday.

BSE 30-share Sensex went up 399 points to 62,271.56 and NSE Nifty 50 surged 115 points to 18,436.20 at noon on Friday.

HDFC, Axis Bank, IndusInd Bank, ICICI Bank, HDFC Bank and Power Grid were the laggards. Reliance was the top gainer on the Nifty 50, rising nearly 2 per cent in morning trade. Reliance Industries subsidiary Reliance Retail Ventures on Thursday said it completed the acquisition of 51 per cent controlling stake in Lotus Chocolate Company. In the Asian markets, Hong Kong's Hang Seng lost 369 points, Japan's Nikkei gained 210 points, China's Shanghai lost 4 points.

In the US markets, Nasdaq and NYSE were trading in the positive territory, S and P surged 36 points, Dow Jones dropped 35 points. In the European market, Amsterdam Exchange, CAC and BEL were trading in the positive territory, FTSE 100 declined 56 points, IBEX and Deutsche Borse were trading in the green.

In the foreign exchange market, the local currency gained one paise from its previous close to 82.73, against the US dollar on Friday. The dollar index was last trading 0.1 per cent lower at nearly 104. Dollar Index measures the American currency against the yen, the pound, the Canadian dollar, the Swedish krona, the Swiss franc and the euro. Investors became buyers on Thursday's close. On Thursday, domestic institutional investors became net buyers with Rs 338.44 crore while foreign institutional investors were also buyers, with Rs 589.10 crore.