oppn parties BJP's Wins Sets Stock Markets On Fire

News Snippets

  • Maratha quota bill likely to be tabled in Maharashtra assembly today
  • Arvind Kejriwal skips ED summons for the 6th time, says the case is in court and will follow court's decision
  • PM Modi says UP has gone from 'red tape' to 'red carpet' in 7 years of 'double engine' government
  • Farm unions reject government offers, to resume Delhi march from today
  • Centre says some Aadhar cards in Bengal 'deactivated' due to technical glitz, will be activated back soon
  • Supreme Court stays LS privilege panel summons to Bengal officials over BJP MP Sukanta Majumdar injury case
  • Supreme Court junks Sandeshkhali petition, says it cannot be compared to Manipur, asks petitioner to approach Calcutta HC
  • Supreme Court gets tough on Chandigarh mayoral elections, asks for ballot papers and video footage, does not order re-election
  • Government starts withdrawing old small tax demands, up to Rs 25000 per entry till FY 2009-10 and up to Rs 10000 per entry from FY 2010-11 to FY 2014-15 with an overall ceiling of Rs 1 lakh per tax payer
  • Stocks remained positive on Monday: Sensex gained 281 points to 72708 and Nifty 81 points to 22122
  • Jasprit Bumrah likely to be rested for 4th Test while K L Rahul may be back
  • FIH Pro League hockey: India beat Spain 8-7 in shootout
  • SP leader Salim Sherwani, miffed at no Muslim candidate given RS ticket, quits party
  • Army going for big (Rs 57000cr) upgrade in combat vehicles to replace T-72 tanks
  • Mamata Banerjee says the BJP is doing nothing to resolve the Sandeshkhali dispute but instead fanning the fires to escalate it
History created in Supreme Court as Chandigarh mayoral poll ballots counted in court, judges declare AAP candidate Kuldeep Kumar winner after taking into account the votes defaced by returning officer Anil Masih
oppn parties
BJP's Wins Sets Stock Markets On Fire

By Linus Garg
First publised on 2023-12-05 15:58:30

About the Author

Sunil Garodia Linus tackles things head-on. He takes sides in his analysis and it fits excellently with our editorial policy. No 'maybe's' and 'allegedly' for him, only things in black and white.

After the impressive performance by the BJP in the three Hindi heartland states of Rajasthan, Madhya Pradesh and Chhattisgarh, the stock markets in India are on fire. In just two trading sessions on Monday and Tuesday after the results were announced on Sunday evening, the Sensex has jumped by over 1800 points and the Nifty by 587 points. Scaling new closing highs, the Sensex closed at 69296 and Nifty at 20855 on Tuesday. Investors see in these BJP wins a confirmation that the party is most likely to return to power in 2024 with a substantial majority which will result in continuance of policy and long-term growth, both things necessary for rise in investor wealth.

The markets were rising since the beginning of November due to a host of factors. The Indian economy was proving to be resilient in the face of global slowdown and recorded a better-than-expected growth in the second quarter of FY24 buoying investor sentiment. With the release of hostages in batches, the war clouds in the Middle-East were also receding, reducing the possibility of disruption in supply chains. After a huge scare, oil prices had also shown a declining trend and have gone down by 7% from the beginning of November. Investors also expect the US Fed to cut rates earlier than expected and the US bond yields were easing. Finally, net FPI inflows in the first few days of December have already crossed the amount invested in the whole month of November.

Since the sentiment was positive in the market, the BJP wins gave it the impetus needed for a bull run. The Adani group shares have also contributed in the big jump after the US government termed the allegations against the group made by Hindenburg as 'not relevant', at least for Adani Ports, after a due diligence conducted by the International Development Finance Corporation. The US government approved a $553mn extension to the group for its container terminal in Sri Lanka. The shares of all Adani companies have surged by more than 10% and the increase in market capitalization has once again propelled Gautam Adani in the top 20 of the wealthiest persons in the world list.