Sensex soars on hopes of better GDP data

Indian markets moved sharply higher today after a cautious start. The Sensex was up 242 points at 20,777 while Nifty rose 76 points at 6,168. The GDP data for the second quarter is due after the market hours today.

The economic growth in the September quarter is expected to be slightly better than the previous quarter numbers. A Reuters poll of 40 economists showed gross domestic product (GDP) likely expanded 4.6 per cent year-on-year, only twenty basis points above the previous quarter, which was the lowest in four years.

Mehraboon Irani, principal & head - private client group business at Nirmal Bang Securities, said market bias remains on the upside.

The state election results to be declared next month remains a key trigger for the markets, he added.

Other Asian markets except Japan were steady today. Japanese stocks paused for breath on Friday after hitting their highest closing level in nearly six years in the previous session, and as the yen tumbles are on track for their best November gain since 1998. Investors also held back from chasing other regional equities higher, with the MSCI Asia-Pacific outside Japan index steadying after reaching its highest close in a week on Thursday.

Japan's benchmark Nikkei dipped 0.1 percent, though it is still up 9.7 percent this month as the yen slumped against the euro and dollar. (With Reuters inputs)