New Delhi, May 5 -- Stocks to buy for the short term: Nifty 50, the benchmark of the Indian stock market, extended gains to the third consecutive week last Friday despite escalating tensions between India and Pakistan. The Nifty 50 rose about 1.3 per cent last week amid growing optimism towards a potential trade deal between the US and China even as the India-Pakistan factor capped the gains.

Healthy macroeconomic indicators, sustained foreign capital inflow, weakness in the dollar index and largely stable Q4 earnings supported the domestic market.

The Indian stock market is enjoying strong tailwinds at the current juncture. However, the India-Pakistan conflict remains a key overhang. Given this risk, experts suggest that investors exer...