New Delhi: India's economic growth remains robust despite rising crude prices and a weaker rupee, with Q3 GDP expanding 7.8 per cent and full-year FY26 growth projected at 7.6 per cent, according to a report by PL Asset Management released Thursday.

The recent market corrections have created a favourable Nifty valuations 2026 backdrop, with the index trading at a 5.6 per cent discount to its five-year average price-to-earnings ratio (PE), offering an attractive medium-term risk-reward scenario for investors.

Sectoral gains were led by metals, energy, pharmaceuticals, industrials, automobiles, and public sector banks, while IT lagged. Gold continues to remain a key hedge for portfolio diversification, the report noted.

"While near-term volatility may persist, market corrections often reset valuations and create entry opportunities for long-term investors through calibrated value buying," the firm said.

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PL Asset Management highlighted several growth catalysts for India, including the India-US tariff reduction, progress on the India-EU Free Trade Agreement (FTA), and the government's Rs 12.2 lakh crore infrastructure push under Budget 2026. These initiatives are expected to enhance export competitiveness, stimulate domestic capital expenditure, and reinforce India's medium-term growth outlook.

Indian equities have shown resilience due to strong domestic fundamentals, ample liquidity, and robust institutional participation. However, global tensions and rising commodity costs pose risks to fiscal stability, inflation, and currency valuation.