Indian markets began the new year on a positive note. Sensex ended 43 points higher at 26,160 on Friday while Nifty rose 16 points to 7,963. The gains were led by banking, real estate, auto and capital goods stocks.
However, strong action was seen in midcap and smallcap space. The BSE midcap and smallcap indices on the BSE rose nearly 0.90 per cent.
Airline stocks were in focus after a sharp cut in aviation fuel prices. Jet Airways surged 8.2 per cent, SpiceJet gained 9.4 per cent and InterGlobe Aviation jumped 9.7 per cent.
Most of the analysts expect 2016 to be a better year for Indian markets. Global brokerages Macquarie and Goldman expect Nifty to hit 9,200 and 9,000 by the end of 2016.