India's NSE Nifty 50 and S&P BSE Sensex are trailing only Wall Street's Nasdaq and S&P 500 as top-performing indexes this year, with analysts expecting the rally to extend into 2025.

The trends on Gift Nifty also indicate a positive start for the Indian benchmark index. The Gift Nifty was trading around 25,400 level, a premium of nearly 30 points from the Nifty futures’ previous close.

Indian markets, Sensex and Nifty, surged in early trade following a global rally after the US Federal Reserve cut interest rates. JSW Steel, Tata Steel, Mahindra & Mahindra, Larsen & Toubro, Bajaj Finserv and Maruti were top gainers.

Indian shares rose on Friday, led by metals, as an outsized interest rate reduction by the U.S. Federal Reserve and the anticipation of a soft landing for the world's largest economy boosted risk appetite across global markets.

Nifty, Sensex opened strong on Friday following a global market surge after the US Federal Reserve decision to cut interest rates.