The benchmark S&P BSE Sensex surged by 264 points in the morning trade on persistent buying by operators mainly in banking, realty, PSU, power, metal and FMCG sectors on the back of good foreign capital inflows amidst mixed Asian cues.
Foreign institutional investors (FIIs) bought shares worth a net Rs 102.91 crore as per provisional data from the stock exchanges.
On macro data front, the government unveils Q2 September 2013 GDP growth data after trading hours on Friday.
The sensex opened higher at 20,558.93 and advanced further to 20,819.77 before quoting at 20,799.19 at 1030hrs, showing a sharp gain of 264.28 points of 1.29 per cent from its last close.
The NSE 50-share Nifty also rose by 82.55 points, or 1.36 per cent, to 6,174.40 at 1030 hours.
Major gainers were SSLT (2.80 pct), ICICI Bank (2.73 pct), Cipla (2.36 pct), SBI (2.15 pct), Gail India (2.14 pct), ONGC (1.93 pct), ITC (1.91 pct) and HDFC Bank (1.84 pct).
Asian stocks were trading mixed in their early trade. Key benchmark indices in China, Indonesia, Hong Kong and Taiwan were up 0.03 to 0.54 pct while indices in South Korea, Singapore, and Japan were down 0.14 to 0.36 pct.