oppn parties Stock Markets Welcome Larger Majority For NDA In Exit Polls With Style, Indices End At Lifetime Highs

News Snippets

  • Supreme Court stays Karnataka HC order blocking operations of Kannada news channel Power TV. Says right to free speech must be "zealously protected" by courts
  • Opposition slams Centre for Samvidhan Hatya Diwas, says the Constitution is being murdered on daily basis under the present BJP government
  • Centre notifies June 25 as 'Samvidhan Hatya Diwas'. This was the date on which Indira Gandhi imposed the Emergency in 1975
  • Bengal moves SC against state governor for keeping 8 bills pending
  • Mamata Banerjee meets Uddhav Thackeray in Mumbai, says 'khela on' and promises to campaign for his party in the Maharashtra assembly elections
  • Stars and eminent persons from across the globe attend the wedding of Anant Ambani with Radhika Merchant at the Jio World Convention Centre in Mumbai
  • Controversial IAS trainee Puja Khedkar faces dismissal from service if her quato and disability claims are found false
  • SC says stay on bail should be in rare cases like terrorism or where order is perverse otherwise personal liberty and Article 21 will go for a toss
  • Supreme Court says judicial review of arrests by ED is necessary to check improper exrecise of power to arrest
  • Supreme Court grants interim bail to Arvind Kejriwal in the money laundering case in Delhi liquor policy case but he will remain in jail as he is under CBI detention in the corruption case in the same scam
  • Retail inflation rises to 5.1% in June, the highest in 4 months
  • Government to avoid merger of BSNL-MTNL. Instead, MTNL's operations will be shifted to BSNL to give the latter an all-India presence
  • Women's U-19 Asia Cup: India to clash with Pakistan on July 19
  • Paris Olympics badminton draws: P V Sindhu in easy group but gets a tough draw later while H S Prannoy and Lakshya Sen might clash in pre-quarter finals
  • After two consecutive wins, India look to seal series when they meet Zimbabwe in the 4th T20 today
Finance minister Nirmala Sitharaman presenting her 7th straight budget in Parliament today
oppn parties
Stock Markets Welcome Larger Majority For NDA In Exit Polls With Style, Indices End At Lifetime Highs

By Sunil Garodia
First publised on 2024-06-03 15:26:00

About the Author

Sunil Garodia Editor-in-Chief of indiacommentary.com. Current Affairs analyst and political commentator.

Unlike politicians (on the losing side), the media, political commentators and the general public, it seems that the stock market does not take the exit polls with a pinch of salt. Hence, despite the 'health' warning that such polls are not always correct and may even go horribly wrong at times, the Indian stocks markets witnessed a strong and broad-based rally on Monday, the first day the market opened after the exit polls were declared on completion of the last phase of voting on Saturday, June 1. On expectation of policy continuity, market stability and further reforms if NDA wins with the huge margin predicted by exit polls, the Sensex ended 2507 points higher and the Nifty was up by 733 points. Experts had predicted that there will be a strong rally on Monday but the fervour with which the bulls went after the scripts surprised even the most optimistic of the commentators. It was the single-largest gain for the markets in three years.

The markets opened strongly (Sensex opened at 76583, 2622 points higher than its Friday closing and although there was profit-taking at higher levels and some volatility, it never dipped below 75600 points in the entire trading session. All sectoral indices were in the plus with both Sensex and Nifty closing at all-time highs. Another big reason for the huge rally was the fact that GDP figures for FY24 surpassed all expectations signalling that the economy was doing much better than expected. The twin reasons saw the bears beating a hasty retreat and the bulls getting a firm grip on the market. The very fact that even though there was profit-taking at higher levels, the markets sustained their initial momentum shows that there were buyers even at the higher levels. This is good for the market as, if the results mirror the exit polls, the rally is likely to continue for a couple of trading sessions. And if the NDA crosses the 400 mark, the Sensex may even cross 78000 and may even go as high as 79000. But retail investors are advised to exercise caution and apply their best judgment before entering the markets at these high levels.