Equity benchmark indices continued its positive momentum from the previous session, with the Nifty climbing above 9900 in the opening tick.
At 09:17 hrs, the Sensex was up 43.94 points at 31814.83, while the Nifty was up 10.95 points at 9908.25. The market breadth was healthy as 519 shares advanced against a decline of 252 shares, while 25 shares were unchanged.
Midcaps continued to gain, while strong movements was seen among metals as well as information technology stocks.
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Infosys, HDFC, and Vedanta were the top gainers on both indices, while Bajaj Auto, HUL, Power Grid and Zee Entertainment lost the most.
Asian stocks edged up on Thursday as tensions between the US and North Korea came off the boil, while worries about President Donald Trump's ability to implement his pro-growth agenda and the Federal Reserve's concerns about low US inflation hit the dollar.
MSCI's broadest index of Asia-Pacific shares outside Japan added 0.3 percent in early trade.
Japan's Nikkei slipped 0.1 percent, weighed down by the yen's strength.
South Korean shares advanced 0.1 percent after the leaders of both North Korea and the United States appeared to back off from their heated rhetoric from last week.
Meanwhile, US stocks ended slightly firmer on Wednesday but off the day's highs as worries mounted over President Donald Trump's agenda and minutes from the latest Federal Reserve meeting suggested policymakers are worried about weak inflation.
Indexes lost some ground following Trump's disbanding of two high-profile business advisory councils after two more CEOs resigned from the manufacturing council on Wednesday in response to his comments on weekend violence in Charlottesville, Virginia.
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