Sensex jumps over 700 points ahead of Q2 GDP data release

New Delhi [India], November 29 (ANI): Stock indices in India edged higher Friday, the last trading session of the week, as the investors closely watch out for July-September quarter GDP data to be released later today.

Indian stocks have been quite volatile for the past few weeks. Recent bearish trends have been attributed to fund outflows, lower-than-expected Q2 earnings by India Inc., and persistently high inflation.

Sensex closed at 79,746.24 points, up 702.50 points, while Nifty closed at 24,131.05 points, up 216.90 points. Among the sectoral indices, Nifty media, auto, pharma, and oil and gas were the top mover. Among the losers were Nifty PSU bank and realty.

The Sensex remains nearly 6,000 points below its all-time high of 85,978 points. Recent bearish trends have been attributed to fund outflows, lower-than-expected Q2 earnings by India Inc., and persistently high inflation.

“Buy on dips strategy may not yield short-term gains in this market. But this strategy can be applied by investors with a medium to long-term time horizon. Largecaps in financials, IT, capital goods and telecom are ideal for accumulation from a medium to long-term perspective,” said V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

Meanwhile, foreign portfolio investors (FPIs) are poised to end November as net sellers in Indian stock markets for the second consecutive month, following a four-month buying streak until September.

According to data from the National Securities Depository Limited (NSDL), FPIs have sold stocks worth Rs 13,079 crore in November so far, though the pace of outflows has slowed, helping recoup some of the losses.

Looking ahead to December, the Reserve Bank of India’s (RBI) bi-monthly Monetary Policy Committee (MPC) meeting will be closely monitored for fresh cues. Persistent food inflation continues to delay potential rate cuts by the central bank.