(Bloomberg) -- Indian stocks advanced, tracking a global equities rally, following a report of progress in developing a vaccine to counter Covid-19.

The S&P BSE Sensex climbed 1.2% to 36,451.57 as of 9:49 a.m. in Mumbai, while the NSE Nifty 50 Index advanced 1.1%. Both measures fell the most in a month yesterday after flirting during the past week with technical levels that flash overheated signals to some investors. Wipro Ltd. surged the most in 11 years after posting quarterly earnings that beat analysts’ estimates.

“Positive global cues and bullish sentiment around Reliance, which carries a large weight in the index, will boost the market,” said Umesh Mehta, head of research at Samco Securities Ltd. in Mumbai. Still, “the financial sector is cracking, which reflects that the real economy has weakened in some pockets, and investors are slowly realizing that.”

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Signs of growth are emerging as India gradually reopens in some areas from an extended lockdown, while some cities in Maharashtra and Karnataka states are reimposing restrictions as the virus continues to spread. The South Asian nation faces its first economic contraction in four decades and has registered the world’s third-highest number of coronavirus infections.

While Reliance Industries Ltd. holds its annual meeting with shareholders from 2 p.m., software services giant Infosys Ltd. will provide insight into how lockdowns affected its earnings when it reports quarterly results after the local market closes today.

Shares in Wipro surged as much as 15%, the most since May 2009. Analysts are raising estimates for the IT giant after its operating margin widened in the three months through June, helping it post net income that beat estimates after yesterday’s market close.

The rupee gained 0.1% to 75.34 per U.S. dollar. The yield on the 6.45% 2029 government bonds remained little changed at 5.91%.

The Numbers

  • Eighteen of 19 sector sub-indexes compiled by BSE Ltd. gained, led by a gauge of information technology companies
  • Reliance Industries contributed most to the Sensex’s advance, while Tech Mahindra Ltd. was the biggest winner with a 3.8% rise; Bharti Airtel Ltd. was the biggest loser, dropping 1.2%

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