Indian Stocks Edge Higher Amid Economic Uncertainty

India's stock indices rise as investors await GDP data, despite recent volatility from fund outflows, earnings disappointments, and high inflation. Sensex and Nifty close higher, with media and auto sectors gaining. Experts suggest medium to long-term strategies as FPIs end November as net sellers.

India's stock markets saw a positive conclusion to the week, with key indices recording gains in anticipation of the July-September GDP figures set for release later today. The Sensex rose by 702.50 points to close at 79,746.24 points, while the Nifty climbed 216.90 points to finish at 24,131.05 points.

Sectoral indices such as Nifty media, auto, pharma, and oil and gas led the rally, despite recent market volatility due to factors like fund outflows, disappointing Q2 earnings, and high inflation. However, Nifty PSU bank and realty faced losses. Despite the upward trend, the Sensex remained nearly 6,000 points shy of its all-time high.

V K Vijayakumar from Geojit Financial Services expressed caution, advising a 'buy on dips' strategy only for medium to long-term investors, especially in large-cap sectors like financials, IT, capital goods, and telecom. Meanwhile, Foreign Portfolio Investors (FPIs) continued to withdraw funds, marking a net selling month for November, influenced by persistent inflation impacting RBI's rate cut decisions.

(With inputs from agencies.)