Indian stock-index futures advanced after data showed the nation’s economic growth quickened last quarter from a four-year low.

SGX CNX Nifty Index futures for December delivery rose 0.2 percent to 6,238.0 at 10:31 a.m. in Singapore. The underlying CNX Nifty (NIFTY) Index on the National Stock Exchange of India Ltd. climbed 1.4 percent to 6,176.10 on Nov. 29. The S&P BSE Sensex added 1.3 percent to 20,791.93. The Bank of New York Mellon India ADR Index of U.S.-traded shares gained 1.8 percent to 1,112.35.

The nation’s gross domestic product rose 4.8 percent in the three months ended September from a year earlier, compared with 4.4 percent in the previous quarter, the Statistics Ministry said after the market close on Nov. 29. The median of 44 estimates in a Bloomberg News Survey was for a 4.6 percent gain. The revival is threatened by looming interest-rate increases to fight rising prices in the nation of 1.2 billion people.

“The GDP numbers show that the downside is getting limited,” Surya Narayan Nayak, an analyst at Networth Stock Broking Ltd., said by phone. “The next question is how will the Reserve Bank of India calibrate its interest rate policy. Will it be for inflation control or for boosting growth further. We expect markets to be volatile in the near term.”

RBI Governor Raghuram Rajan is expected to raise the policy interest rate to 8.5 percent next year from 7.75 percent, Goldman Sachs Group Inc. said on Nov. 21, building upon two increases of a combined 50 basis points after he moved to the central bank in September.

The Sensex rose 2.8 percent last week, ending three weeks of losses. It declined 1.8 percent last month, its first drop since August.

Funds Flow

Foreigners bought a net $ 1 billion of stocks last month, the third straight monthly inflow, data compiled by Bloomberg show. Overseas investors have purchased $ 17.3 billion of Indian (SENSEX) shares this year, the most in Asia after Japan, the data show.

The Sensex has risen 7 percent this year, the best performer among the four largest emerging markets, and trades at 13.6 times projected 12-month earnings, compared with the MSCI Emerging Markets Index’s 10.7 times.

Mahindra & Mahindra Ltd. (MM), India’s biggest sports utility-vehicle maker, may be active. Its sales fell 18 percent to 39,255 units last month, the company said in a statement yesterday.

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