India's GIFT Nifty was trading at 21,760 as of 7:45 a.m. IST, suggesting the NSE Nifty 50 is set to open above its Wednesday's close of 21,654.75.

The NSE Nifty and BSE Sensex hit all-time highs on Wednesday, with the former notching record highs in 12 sessions of the 18 so far in December.

Analysts say the sentiment is positive and could remain so in the last few days of the week to end the year on a positive note.

The indexes have risen 7.5% each so far this month, helped by strong domestic macroeconomic data, a return of foreign inflows, and moderation in oil prices. The monthly gains are also the most this year and the highest since July 2022.

U.S. stocks overnight eked out gains, and were on course for monthly, quarterly, and annual gains. Asian shares touched five-month highs on Thursday, supported by bets that the U.S. central bank could cut rate cuts next year. [.N] [MKTS/GLOB]

STOCKS TO WATCH:

** Indian Oil Corp: One worker was killed and another injured in a fire incident at a plant in the southern Indian city of Chennai on Wednesday, the state-run refiner said.

** South Indian Bank: The bank's board has approved a proposal for fundraising for up to 17.50 billion rupees ($210.19 million) via share issue on a right basis.

** Tata Power: The company has bought project special purpose vehicle Bikaner III Neemrana II Transmission for 186.1 million rupees ($2.24 million).

** Petronet LNG: The company has signed an agreement with Gopalpur Ports for setting up of LNG Terminal on the east coast of India.

($1 = 83.2570 Indian rupees)

(Reporting by Rama Venkat in Bengaluru; Editing by Janane Venkatraman)