BENGALURU, July 6 (Reuters) - Indian shares advanced on Thursday, in contrast to Asian peers which slid on concerns of an escalating Sino-U.S. trade conflict and rising odds of further policy tightening by the U.S. Federal Reserve.

The Nifty 50 index was up 0.24% at 19,447.80, while the S&P BSE Sensex rose 0.24% to 65,604.22, as of 10:35 a.m. IST.

Reliance Industries, the highest weighted stock in the Nifty, rose as much as 2.32% to a seven-month high after a report said that its telecom arm is likely to sign a contract worth $1.7 billion with Nokia to buy 5G network equipment.

The rally continued in broader markets as well, with smallcap and midcap indexes rising 0.5% each to fresh 52-week and record highs, respectively.

"Expect Indian equities to consolidate in the third quarter of 2023 after a 11% rally in June quarter," six analysts at Goldman Sachs said in a note on Wednesday.

They added that strong fundamentals, structural growth appeal and steady earnings made investing in India compelling, but cautioned that the valuations remained expensive.

In contrast to domestic equities, global markets declined after minutes of the June Fed meeting showed that most members expected further policy tightening.

Concerns over U.S.-China trade relations also weighed on sentiment. The U.S. said that it was firmly opposed to the export controls announced by China.

Asian markets edged lower, with the MSCI Asia ex-Japan index losing 1.75%.

Eight of the 13 major Nifty sectoral indexes advanced, with real estate index rose over 2%. Prestige Estate Projects jumped nearly 4% on entering a joint venture with WS Industries to develop IT parks in Chennai.

Among individual stocks, Tata Power jumped as much as 3.20% to a six-month high after bagging order worth 17.44 billion rupees ($211.6 million). ($1 = 82.3379 Indian rupees) (Reporting by Bharath Rajeswaran in Bengaluru; Editing by Varun H K)