India's benchmark equity indices edged slightly higher on Friday, driven by a rally in pharma stocks and gains in tech major Infosys, helping the markets end in the green in a holiday shortened week.
The BSE Sensex closed up 28 points or 0.1 per cent at 31,596.06 and the wider NSE Nifty 50 rose 5 points or 0.1 per cent to end at 9,857.05.
For the week, the Sensex ended 0.13 per cent higher and the Nifty 50 gained 0.20 per cent.
With lack of any significant positive developments, markets traded in a narrow band through the week. Analysts say market mood remains cautious as valuations still look expensive despite recent correction and traders were not building new positions ahead of a long weekend.
"If we summarise the overall price development in last couple of weeks, it seems the index has slipped into a consolidation mode. Although Wednesday's recovery in the latter half was slightly on unexpected lines, we would continue with the recent cautious stance," said Sameet Chavan, chief derivatives analyst at Angel Broking.
All eyes will be also on the US resort of Jackson Hole where global central bankers are meeting. US Federal Reserve chairperson Janet Yellen and European Central Bank President Mario Draghi will deliver speeches there later on Friday.
Their talk should typically give an idea of the state of the two major economies. However, no surprises are expected from the two.
Back home, pharma stocks were among the major gainers on Thursday. Lupin shares surged 4 per cent, Sun Pharma and Dr Reddy's gained 3 per cent and Cipla was also up 2.50 per cent.
India's second largest software services exporter Infosys also rose 2 per cent after reports suggested that Nandan Nilekani was likely to return to the company as chairman.
Tata Steel, State Bank of India, Axis Bank and Larsen and Toubro also rose.
Markets will remain closed on Friday for Ganesh Chaturthi.
